Marginal Cost Curve
Deadweight Loss
Average Cost Curve
Perfectly Price Discriminating Monopoly
Pareto Efficient
Reservation Wage
Perfectly Competitive
Exogenous Shock
Elasticity
Market Clearing
Increasing Returns to Scale
Tax Incidence
Single Price Monopoly
When production inputs double, output more than doubles
A market with a large number of buyers and sellers that can freely enter and exit.
The distribution of a tax across consumers and suppliers
A price where there is no excess supply or demand.
A market with only one supplier and a set price for all consumers
A market with one supplier where the price is unique to each consumer and maximizes the individual’s willingness to pay
The zero-profit isoprofit curve
An inefficient market allocation generates less surplus than a Pareto efficient allocation because of this phenomenon
the lowest wage rate a worker would be willing to accept for any given job
The effect of a 1% change in price on the quantity demanded
An equilibrium where a change in price or quantity would make either the supplier or the consumer worse off
A force outside of the market that influences supply and/or demand
The firm’s supply curve
