Section 11 Flashcards
1
Q
The short run individual supply curve
A
shows how an individual firms profit maximizing level of output depends on market price
2
Q
Short run market equilibrium
A
When the quantity supplied equals the quantity demanded
Taking # of producers given
3
Q
Public ownership
A
A good is supplied by the government or owned by the firm.
4
Q
Price regulation
A
Limits price monopolist is allowed to charge
5
Q
Price discrimination
A
Different consumers are charged different prices
6
Q
Shut down price
A
A firm will cease production in the short run if the market price falls below the shut-down price which is equal to minimum average variable.
