$100 $100 $100 $100 $100 $200 $200 $200 $200 $200 $300 $300 $300 $300 $300 $400 $400 $400 $400 $400 $500 $500 $500 $500 $500

Demand

Supply

Elasticity

Costs and Revenue

Vocabulary

Costs and Revenue Demand Supply Elasticity Vocabulary $ $100 $100 $100 $100 $100 $200 $200 $200 $200 $200 $300 $300 $300 $300 $300 $400 $400 $400 $400 $400 $500 $500 $500 $500 $500

Listing that shows the quantities demanded of a product at all prices

Ability, willingness and desire to buy a product

What would happen to the demand curve if customer’s income increases?

C 1 - $400 What would happen to the demand curve for butter if the price of margarine decreased?

C 1 - $500 This illustrates the quantities demanded by everyone interested in buying a product.

Amount of a product that would be offered for sale at all possible prices

supplied at all possible prices that might Graph showing the various quantities supplied at all possible prices that might prevail in the market

Amount of a product that producers bring to market at any given price

C 2 - $400 If the number of sellers of a product increased what would happen to the market demand curve?

What would happen to the supply curve if taxes on businesses increased?

no effect, the demand for the product is If a modest price increase has little or no effect, the demand for the product is

C 3 - $200 When a change in price causes a relatively larger change in quantity demanded then demand is said to be this

C 3 - $300 If the price of medicine increases by 30% and the quantity demanded decreases by 30%. Demand for the product is what?

output to higher prices quickly, than supply If a firm can adjust output to higher prices quickly, than supply is likely to be this.

C 3 - $500 If a producer raises the price of a good with inelastic demand, what will happen to revenue?

Cost a business incurs even if there is little or no activity

Cost that changes when the rate of operation or output changes

What is another name for total fixed costs?

C 4 - $400 This equals the number of units sold multiplied by the average price per unit.

Production level where total cost equals total revenue

Products that are used in place of other products.

use of one product increases the use Products where the use of one product increases the use of another product

to encourage or protect an economic activity Government payment to encourage or protect an economic activity

satisfaction from using additional quantities Decline in extra satisfaction from using additional quantities of a product.

Change in quantity demanded because a price change altered consumers’ real income.

C 1 A - $100 Demand Schedule $

C 1 A - $200 Demand $

The demand curve would shift C 1 A - $300 The demand curve would shift to the right. $

C 1 A - $400 The demand curve for butter would shift to the left. $

C 1 A - $500 Market Demand Curve $

C 2 A - $100 Supply $

C 2 A - $200 Supply Curve $

C 2 A - $300 Quantity Supplied $

The market demand curve would shift to the right C 2 A - $400 The market demand curve would shift to the right $

The supply curve would shift to the left C 2 A - $500 The supply curve would shift to the left $

C 3 A - $100 Inelastic $

C 3 A - $200 Elastic $

C 3 A - $300 Unit Elastic $

C 3 A - $400 Elastic $

C 3 A - $500 Revenue will increase. $

C 4 A - $100 Fixed Cost                                               $

C 4 A - $200 Variable Cost $

C 4 A - $300 Overhead $

C 4 A - $400 Total Revenue $

C 4 A - $500 Break-Even Point $

C 5 A - $100 Substitutes $

C 5 A - $200 Complements $

C 5 A - $300 Subsidy $

Diminishing Marginal Utility C 5 A - $400 Diminishing Marginal Utility $

C 5 A - $500 The Income Effect $

The Theory of Production FJ Topic The Theory of Production $

FJ Question Period of production long enough for adjustments in all productive resources. $

FJ Ans The Long Run $

END OF GAME