Microeconomics (Christopher T.S. Ragan) (z-lib.org)

Microeconomics and Macroeconomics Questions relating to what is produced and how, and what is consumed and by whom, fall within ...

crates per day, doing so with two machines and eight workers is technically efficient, but so is using four machines and two wor ...

Economics and Government Policy The design and effectiveness of government policy matters for each of our four key economic prob ...

If it is possible to substitute one factor for another to keep output constant while reducing total cost, the firm is currently ...

idleness. For example, when the Canadian economy entered a major global recession in 2009, the federal and provincial government ...

is 20 units of output and the price of one unit of labour is $2. Then we have Thus, the last dollar spent on capital adds only 4 ...

1.2 The Complexity of Modern Economies If you want a litre of milk, you go to your local grocery store and buy it. When the groc ...

Oil is a very important input in many industries. Increases in the price of oil will lead profit-maximizing firms to substitute ...

shipments include raw materials, such as iron ore, logs, and oil; parts, such as automobile engines, transistors, and circuit bo ...

compares to the cost of an additional unit of labour. If the two sides of Equation 8-2 are the same, then the firm cannot make a ...

A great insight of early economists was that an economy based on free-market transactions is self-organizing. A market economy i ...

Methods of production will change if the relative prices of factors change. Relatively more of the cheaper factor and relatively ...

Adam Smith wrote An Inquiry into the Nature and Causes of the Wealth of Nations in 1776. Now referred to by most people simply a ...

these countries are inefficient because they are using methods long ago discarded in the West is missing the truth about efficie ...

Instead it refers to the relatively efficient order that emerges spontaneously out of the many independent decisions made by tho ...

Our final example involves a cross-country comparison of how firms substitute between capital and electricity. In North America, ...

makes sense given their time and financial constraints. Similarly, they sell products, including their own labour services, in a ...

Figure 8-1 A “Saucer-Shaped” Long-Run Average Cost Curve Long-Run Cost Curves We have been discussing a firm’s cost-minimizing c ...

1600s. It contains brief discussions of many of these thinkers and places them in their historical context. 2 An Inquiry Into th ...

The long-run average cost (LRAC) curve is the boundary between attainable and unattainable levels of costs. If the firm wants to ...