100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Previously searched by you
Previously searched by you
logo
AP Microeconomics Key Terms (Crash Course) Questions with 100% Actual correct answers | verified | latest update | Graded A+ | Already Passed | Complete Solution £6.57   Add to cart
Quickly navigate to
Preview
  2.  
  3. AP Crash Course
  4.  
  5. AP Crash Course
  6.  
  7. AP Crash Course

Exam (elaborations)

AP Microeconomics Key Terms (Crash Course) Questions with 100% Actual correct answers | verified | latest update | Graded A+ | Already Passed | Complete Solution

 7 views  0 purchase

AP Microeconomics Key Terms (Crash Course) Questions with 100% Actual correct answers | verified | latest update | Graded A+ | Already Passed | Complete Solution

Preview 2 out of 5  pages

Document information

  • June 18, 2024
  • 5
  • 2023/2024
  • Exam (elaborations)
  • Questions & answers

Subjects

  • ap microeconomics key terms crash course

Written for

All documents for this subject (100)

Seller

avatar-seller
Hkane

Reviews received

Content preview

AP Microeconomics Key Terms (Crash
Course)
Absolute Advantage - ✅✅ -The ability to produce more of a good or service
than another person or society with the same number of inputs. Alternativley, it
means one person or society can make more of a good or service with less
inputs than its counterpart.

Allocative Effeciency - ✅✅ -Otherwise known as the Socially Optimal Point, it is
the amount of production that benefits society the most. It is achieved when the
marginal benefit of production is equal to the marginal cost.

Capital - ✅✅ -The tools, machines, factories, and buildings used to produce
goods and services.

The "Capital Building"

Ceteris Peribus -✅✅ -"Other things being equal." The assumption that all other
variables remain constant except those being studies.

Circular Flow - ✅✅ -A model that shows how households and firms interact in
product and resource markets.

Command Economy - ✅✅ -An economic system in which the government
makes most of the choices for the economy.

Comparative Advantage - ✅✅ -The ability to produce a good or service at a
lower oppertunity cost than someone else. The reason why specialization and
trade can benefit two societies.

Complementary Goods - ✅✅-Goods that are consumed together.
Ex: Peanut Butter and Jelly

Consumer Surplus - ✅✅
-The difference between the equilibrium price in the
market and the price consumers are actually willing to pay for a good or service.

, On a graph: Beneath the demand curve, above the price paid and to the left of
the qunatitiy purchased.

Cross-Price Elasticity -✅✅ -Determines whether goods are complements (if the
C-PE is negative) or subsitutes ( if the C-PE is positive)

Deadweight Loss - ✅✅ -The loss of consumer or producer surplus when a
quantity other than the equilibrium quantity prevails in the market. Deadwieght
loss occurs from either over or under production of a good and is associated with
allocative effeciency.

Determinants of Demand - ✅✅
-The factors that either cause demand to
increase or decrease. These factors include, Tastes of consumers, Related
goods price, Income of consumers (change), Buyers (change in number of
buyers) and Expected prices.
TRIBE

Determinants of Supply - ✅✅ -The factors that cause supply to either increase
or decrease. These factors include, Resource cost or problem, Other related
goods price, Technology, Taxes and subsidies, Expected price, Number of
sellers.
ROTTEN

Diminishing Marginal Utility - ✅✅ -Each additional unit of a good consumed
produces less satisfaction (utility) than the previous unit consumed. One reason
why price and quantity demanded have an inverse relationship.

Elastic -✅✅ -Describes the rate of change in quantity that is greater than the
rate of change in price.

✅✅
Elasticity - -The sensitivity to quantity changes relative to changes in other
factors, often prices.

Excise Tax - ✅✅ -A per unit tax on the production of a good or service. Excise
taxes tend to reduce supply, decreasing quantity of a good that is sold and
increasing the price that buyers pay.

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller Hkane. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for £6.57. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

70055 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy revision notes and other study material for 14 years now

Start selling
£6.57
  • (0)
  Add to cart