Studied by 4 people
Constant returns
________ to scale: the property whereby long- run average total cost stays the same as the number of output changes.
greek letter
The ________, ∆, or delta, represents the change in a variable.
Efficient scale
________: the quantity of output that minimizes average total cost.
Firm
________ cost curves don't show what decisions the ________ will make but they help determine that decision.
Total revenue
________: the amount a firm receives for the sale of its output.
average total cost curve
A graph with a longer- run ________ is flatter than a shorter- run ________.
Diminishing marginal product
_______________: the property whereby the ________ of an input declines as the quantity of the input increases.
Marginal product
________: the increase in output that arises from an additional unit of input.
Total revenue
_____________: the amount a firm receives for the sale of its output.
Implicit costs
_________________: input costs that do not require an outlay of money by the firm.
Explicit costs
_____________-: input costs that require an outlay of money by the firm.
Profit
_________: total revenue minus total cost.
Total cost
_____________: the market value of the inputs a firm uses in production.
Economies of scale
__________________: the property whereby long-run average total cost falls as the number of output increases.
Constant returns to scale
______________________: the property whereby long-run average total cost stays the same as the number of output changes.
Diseconomies of scale
______________________: the property whereby long-run average total cost rises as the number of output increases.
