Lecture 5: Firm Behavior In competitive Markets Flashcards
1
Q
MR
A
Marginal Revenue
MR = P*
2
Q
TR
A
Total Revenue
P x Q = TR
3
Q
ATR
A
Average Total Revenue
ATR = P* = MR
4
Q
Shutdown Conditions
A
When a firm will not want to sell any units at a certain price point.
5
Q
TC
A
Total Cost
6
Q
TR
A
Total Revenue
7
Q
TVC
A
Total Variable Cost
