Across
- 6. A pair of goods where the quantity demanded of one increases when the price of a related good decreases.
- 9. A situation where an economic agent, region or country can produce a good with a smaller quantity of inputs relative to other agents.
- 11. A condition where there is no tendency for an economic variable to change.
- 13. The difference between what a consumer is willing to pay for each unit of a commodity consumed and the price actually paid.
- 14. A market outcome where economic welfare is maximized -- where the price (marginal benefit) of a product traded is equal to the marginal (opportunity) cost of production.
- 17. Characteristics or attributes that lead to participation in the production process or participation as a buyer of certain products.
- 18. The sum of producer surplus and consumer surplus generated by market activity. For each unit traded, this welfare is the difference between the marginal value of a good and marginal (opportunity) cost.
- 19. An increase in the aggregate price level -- all prices rising. Typically measured via the Consumer Price Index, Producer Price Index or GDP Deflator.
- 20. These types of Goods and services that are purchased for direct consumption.
- 22. A game theoretic outcome where the choice of one player is the same independent of choices made by other players in the game.
- 24. A firm operating in an industry where barriers to entry exist or heterogeneous products are sold. A firm with almost no price making power.
- 25. A reaction of consumer's demand for goods or services due to changes in purchasing power holding relative prices constant (see Substitution Effect).
- 26. A measure of inefficiency in resource allocation caused by market distortions. This loss occurs when the price (marginal benefit) differs from the marginal costs.
- 28. Barriers that prevent new firms from entering a market due to lack of access to raw materials or production technology.
Down
- 1. Goods (or services) used to produce other goods (i.e., capital equipment).
- 2. A good where quantity demanded decreases when consumer income increases (there is an inverse relationship between quantity demanded and income).
- 3. An exhaustive list of inputs required for any type of production.
- 4. A situation where one economic agent, region or country can produce a good at a lower opportunity costs relative to other agents.
- 5. )Total costs divided by the level of output. Equal to Average Fixed Costs + Average Variable Costs.
- 7. Using factor inputs consistent with the marginal contribution to revenue being equal to their marginal (opportunity) cost. A condition where an increase in the production of one good required factor inputs to be reallocated from production of other goods.
- 8. A measure of sensitivity in the quantity demanded of one goods in reaction to changes in the price of a related good.
- 10. )Variable costs divided by the level of output. With diminishing marginal productivity, these per-unit costs tend to rise with output.
- 12. A measure of sensitivity of quantity demanded to changes in consumer income.
- 15. Total fixed costs divided by the level of output. As output increases, these per-unit fixed costs asymtotically (sp) decrease.
- 16. A modeling technique that accounts for strategic behavior of economic agents reacting to the actions of others, usually in a grid system with 2 actors.
- 21. Economic, natural or physical conditions that make it difficult and maybe impossible for new firms to enter a market and compete away any abnormal profits that may exist.
- 23. A per-unit tax applied (added) the the price of a product sold.
- 27. A relationship between market price and quantities of goods and services purchased in a given period of time. Represents the behavior of buyers in the market place.