Chapter 13: "The Cost of Production" Flashcards
1
Q
The study of how firms adjust quantities and prices in response to market conditions
A
Industrial Organization
2
Q
Profit=?
A
Total revenue - cost
3
Q
Input costs that require an outlay of money by the firm
A
Explicit Costs
4
Q
Input costs that don’t require an outlay of money by the firm
A
Implicit Costs
5
Q
Total Revenue - Explicit Costs
A
Accounting Profit
6
Q
Total Revenue - Total Cost
A
Economic Prifit
