Master the fundamentals of microeconomics with this comprehensive guide, covering factors of production, marginal revenue product, economic rent, transfer earnings, and market structures. Ideal for students preparing for introductory quizzes and exams.
Circle the letter of the Answer that corresponds to the displayed Question.
1. Define transfer earnings?
A: Combines/organises the other factors of production, takes the initiative and risk in setting up a
B: Anything supplied by nature used in the production of goods and services to create wealth.
C Is the earnings of a factor in the next best alternative employment.
D: The ease with which a factor can move from one area to another.
2. Define Capital?
A: MPP X MR = MRP
B: The ease with which a factor of production can move from one occupation to another.
C: The productivity of the factor, the MR/selling price of the output, the law of demand.
D Anything man-made used in the production of goods and services to create wealth?
3. State the factors that influence MPP?
A Quality/Specialised nature of the factors, training/ education provided for the factors, expertise of the
B: Anything man-made used in the production of goods and services to create wealth?
C: The ease with which a factor of production can move from one occupation to another.
D: MPP X P = MRP
4. Name the return/payment for each of the factors of production?
A: Is the minimum payment necessary to bring a factor into use and maintain it in that particular use.
B: A factor of production which can have many different uses.
C Rent, wages, interest, profit, loss.
D: Anything man-made used in the production of goods and services to create wealth?
5. Define marginal revenue productivity?
A: Is the extra output produced when an additional unit of a factor of production is employed.
B: MPP X MR = MRP
C Is the extra revenue earned when an additional unit of a factor is employed.
D: The ease with which a factor can move from one area to another.
6. State the factors that influence MRP?
A: Anything man-made used in the production of goods and services to create wealth?
B: A factor of production which can have many different uses.
C: Shortage in the supply of any FOP, possession of a rare skill/talent, rent of ability, complelety specific
D The productivity of the factor, the MR/selling price of the output, the law of demand.
Business - 2024/25 2024/2025 Edition
The benefits of buying summaries with Stuvia:
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
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
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 marvinmgurolla. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $3.06. You're not tied to anything after your purchase.
