- Shuffle
Toggle OnToggle Off
- Alphabetize
Toggle OnToggle Off
- Front First
Toggle OnToggle Off
- Both Sides
Toggle OnToggle Off
Front
How to study your flashcards.
Right/Left arrow keys: Navigate between flashcards.right arrow keyleft arrow key
Up/Down arrow keys: Flip the card between the front and back.down keyup key
H key: Show hint (3rd side).h key
PLAY BUTTON
PLAY BUTTON
12 Cards in this Set
- Front
- Back
|
when will equilibrium not be socially optimal?
|
when private costs/benefits are different from social ones
|
|
how does monopolistic competition resemble perfectly competitive?
|
firms have the ability to enter or exit pushing economic profit to zero in the long run
|
|
economies of scale
|
when the ATC decrease with the more outputs produced
|
|
price setting firm
|
imperfect
|
|
price taking firm
|
perfect
|
|
when does monopolist suffer economic loss
|
when ATC is greater than profit maximizing price
|
|
decline in planned spending leads to
|
recession
|
|
mosh important factor to changing inflation
|
monitary policy
|
|
tightening monetary policy
|
raises domestic real interest rate, making assets more valuable to foreign, shifting demand curve up, now Am more willing to buy US, sjift supply curve up
dollar appreciates |
|
AD
|
consumer, lower inflation leads to higher spending and output
|
|
kenesian model
|
assumes P does not change at first
how fluxuations in PAE affects total output too little spending, causes recession |
|
maximize economic surplus at
|
MC = P
|
