Chp 5 Production & Costs Flashcards
1
Q
Define short run
A
A period of time so short there is minimum ONE FIXED INPUT
2
Q
Define Long Run
A
A period of time so long that all inputs become variable
3
Q
Key Features of Short Run, SR
A
4
Q
Key Feature of Long Run, LR
A
5
Q
3 main product curves in the SR:
A
6
Q
Explain ALL 3 main product curves in the SR
A
7
Q
Define MP
A
8
Q
define AP
A
9
Q
Relationship between MP & AP?
A
10
Q
Define TFC?
A
11
Q
In the SR, a firm ______ .
A
12
Q
TC is ______ , TC =
AFC is ______ . AFC =
AVC is ______ . AVC =
ATC is ______ . ATC =
MC is ______ . MC =
A
13
Q
define MC
A
14
Q
R/s between Avg and MC w example
A
15
Q
Key Points in the Long Run, ______ .
A
16
Q
State and explain all 3 economies of scale and also in what order they happen to a firm
A
17
Q
A
