AGEC 1113 - Introduction to Agricultural Economics

A collection of vocabulary flashcards covering key concepts in Agricultural Economics, particularly focusing on supply and demand, elasticity, and market structures.

Supply

The relationship between the price of a good and the amount of a good available at a given location and at a given time.

Law of Supply

The quantity of goods offered to a market varies directly with the price of the good, ceteris paribus.

Supply Curve

Graph that shows the relationship between the price of a good and the quantity supplied.

Short-Run Supply Curve

The firm's marginal cost curve above the minimum point on the average variable cost curve.

Long-Run Supply Curve

The firm's marginal cost curve above the minimum point on the average total cost curve.

Market Supply Curve

The relationship between the price and quantity supplied of a good, derived by the horizontal summation of all individual supply curves.

Supply Schedule

A table showing the relationship between the price of a good and the quantity of that good supplied to the market.

Elasticity of Supply

The percentage change in the quantity supplied with respect to a percentage change in price.

Own-Price Elasticity of Supply

Measures the responsiveness of the quantity supplied of a good to changes in its own price.

Change in Quantity Supplied

A change in quantity sold resulting from a change in the price of that good.

Change in Supply

A change in quantity sold resulting from a change in some economic variable other than the price of that good.

Determinants of Supply

Factors that influence the supply of a good, including input prices, technology, prices of related goods, number of sellers, and weather.

Complements in Production

Goods that are produced together, such as beef and leather.

Substitutes in Production

Goods that compete for the same resources in production.

Market Equilibrium

A point where the quantity supplied by producers at a given price is equal to the quantity demanded by consumers.

Surplus

A market situation in which producers are willing to supply more of a good than consumers are willing to purchase at a given price.

Shortage

A market situation in which consumers are willing and able to purchase more of a good than producers are willing to supply.

Market Structure

The organization of an industry defined by the characteristics of competition in that industry.

Monopoly

A market structure characterized by a single seller who dominates the market.

Oligopoly

A market structure characterized by a few large firms that dominate the market.

Monopolistic Competition

A market structure characterized by many sellers of similar but differentiated products.