A(n) ________ means that the current utilization of resources is the most efficient.
New cards
2
Firms
________ can modify the quantity of any input over a long enough period of time.
New cards
3
normal profit
A company that makes a(n) ________ is considered to be successful.
New cards
4
optimal output rule
The ________ asserts that profit is maximized by generating the amount at which the marginal revenue of the last unit produced equals its marginal cost.
New cards
5
negative economic profit
A(n) ________ shows that resources could be better used in another way.
New cards
6
marginal utility
The term ________ refers to a good or service is the change in total utility generated by consuming one additional unit of that good or service.
New cards
7
Implicit Cost
Benefits forgone in the next best use of the firm's resources
New cards
8
Accounting profit
Profit determined only by the firm's explicit costs.
New cards
9
The Firm's Production Function
Refers to the quantity of output a firm produces depending on the number of inputs.
Studied by 1 person
