AP Micro Midterm-MASTER REVIEW

Scarcity

Purchasing power

Marginal Benefit/Analysis/Utility

Complements and Substitutes 

Law of Demand/Supply

Market Demand/Supply

Shifters of Demand/Supply

Elasticity of Demand/Supply

Cross Price Elasticity of Demand

Characteristics of:

- Perfectly competition

- Monopolistic Competition

- Monopoly 

- Oligopoly

Game Theory

Shutdown rule

Deadweight Loss 

Accounting Profit, Economic Profit, Normal Profit

Profit Maximizing Rule

Price Discrimination

Economies of scale vs Diseconomies of scale

Short-run vs Long-run Equilibrium

Average Variable Cost/Average Total Cost

Total Variable Cost/Total Fixed Cost

Total Revenue/Total Cost/ Profit/Loss

Social Optimal/Allocatively efficient and Fair Return/Normal Profit Price/quantity

Economic Systems (Command, Market, Mixed)

Price controls from the government

Least Cost Rule

Diminishing Marginal Returns

Payoff Matrix/Dominant Strategy/Nash Equilibrium 

Derived Demand

Factor/labor Market

Labor Demand/Supply

Positive/Negative Consumption/Production Externalities

Government Responses to externalities

Absolute vs Comparative Advantage

Per unit vs Lump sum tax/subsidy 

Production Possibilities Curve

Antitrust laws

Public Goods

Lorenz Curve