MicroeconomicsAuthor Robert L. Sexton presents a largely geometric and verbal approach as he works to place the analysis of a particular economic concept into a broader framework. He uses a conceptual top-down approach to give students a strong intuitive understanding of modern economics. |
Common terms and phrases
additional units adjust amount analysis assumption average cost behavior bread budget line bundle buyers capital ceteris paribus commodity competition consumer surplus consumption decrease demand and supply demand curve demand schedule diminishing marginal economic economists elasticity of demand Engel curve equilibrium price equilibrium quantity example expenditures factor units Figure firm's flow demand given household income effect income elasticity increase indifference curve individual industry inelastic input inventories isocost isoquant labor less level of output long-run LRAC LRMC marginal cost marginal rate marginal utility market demand market price monopolist monopolistic competition oligopoly oranges output levels P₁ perfect competition pounds price and quantity price change price elasticity Problem purchased quantity demanded quantity supplied rate of substitution reduce relative prices returns to scale rise satisfaction sellers shift short-run slope SRMC steak stock demand substitution effect supply curve tangency theory units of output variable cost variable factor various