Microeconomics Practice Final Terms

3. _ costs are tangible out-of-pocket expenses.
6. The _ effect happens when higher wages lead to less working hours.
8. _ is a form of market structure that exists when a small number of firms sell a (most of the time differentiated) product in a market with barriers to entry.
9. Risk _ takers prefer gambles with lower expected values and potentially higher winnings over a sure thing.
10. _ costs are costs of resources already owned, for which no out-of-pocket payment is made.
11. A price _ has no control over the price determined by the overall supply and demand conditions that regulate the market.
14. If total revenue is decreasing, marginal revenue is _.
15. Risk _ people prefer a sure thing over a gamble with a higher expected value.

1. The _ effect happens when higher wages lead to more working hours.
2. Price _ occurs when a firm sells the same good or service at different prices to different groups of consumers but the difference is not related to cost.
4. _ is an economic phenomenon that exists when two suppliers dominate the market for a commodity or service.
5. _ is the process firms use to make a product more attractive to potential customers.
7. _ economics is the field of economics that draws insight from experimental psychology to explore how people make economic decisions.
12. If total revenue is increasing, marginal revenue is _.
13. _-equilibrium is a stable state of a system involving the interaction of different participants, in which no participant can gain by a change in strategy if the strategies of the other remains unchanged.