Latest Articles:

  1. The Production Function in Economics

    Dec 17, 22 04:35 PM

    The production function in economics provides us with a formula for calculating how to combine inputs to produce goods and services.
  2. The Consumption Function Formula Explained

    Dec 13, 22 03:52 PM

    The consumption function formula is a simple adaptation of the equation of a straight line. Click here for details.
  3. The Saving Function in Economics (Formula & Graph)

    Dec 13, 22 03:51 PM

    The saving function in economics arises from Keynes' consumption function for a simple economy with no government or foreign trade. Click for details.
  4. The Law of Diminishing Returns

    Dec 09, 22 06:23 PM

    The law of diminishing returns in economics relates to the extra output that a firm gains from increasing one of its factors of production.
  5. Opportunity Cost in Economics

    Nov 25, 22 03:26 PM

    Opportunity cost in economics refers to the cost of one thing in terms of the next best thing that is given up in order to get it.
  6. What is Pent Up Demand in Economics?

    Nov 21, 22 08:51 AM

    Pent Up Demand arises when consumers are prevented, for whatever reason, from spending at their desired rate. It leads to accelerated spending later on.
  7. The Bullwhip Effect in Supply Chain Output Explained

    Nov 21, 22 03:04 AM

    The Bullwhip Effect in economics refers to a situation where an economy is in crisis and its supply chain experiences rapid swings in output.
  8. The Production Possibilities Curve (Frontier) Explained

    Nov 17, 22 03:09 AM

    The Production Possibilities Curve is a concave curve that illustrates all of the maximum output combinations of two goods. Click here for details.
  9. Economies of Scope Explained

    Nov 17, 22 03:06 AM

    Economies of scope in an industry may exist if it cost effective for a firm to switch between production of multiple related products.
  10. Minimum Efficient Scale Explained (with Examples & Graph)

    Nov 17, 22 03:04 AM

    The minimum efficient scale in economics relates to the smallest amount of output that a firm can produce while still optimizing its economies of scale.
  11. The Short Run & Long Run Average Cost Curve (SRAC & LRAC)

    Nov 17, 22 03:03 AM

    The short run average cost curve, and long run average cost curve, both help to illustrate efficiency concepts in economics. Click here for details.
  12. Economies of Scale Explained (with Examples)

    Nov 17, 22 03:03 AM

    Internal and/or external economies of scale exist for an industry when there are cost advantages to be gained from increasing production.

Latest Articles:


Dec 17, 2022

The Production Function in Economics

The production function in economics provides us with a formula for calculating how to combine inputs to produce goods and services.

Continue reading "The Production Function in Economics"

Dec 13, 2022

The Consumption Function Formula Explained

The consumption function formula is a simple adaptation of the equation of a straight line. Click here for details.

Continue reading "The Consumption Function Formula Explained"

Dec 13, 2022

The Saving Function in Economics (Formula & Graph)

The saving function in economics arises from Keynes' consumption function for a simple economy with no government or foreign trade. Click for details.

Continue reading "The Saving Function in Economics (Formula & Graph)"

Dec 09, 2022

The Law of Diminishing Returns

The law of diminishing returns in economics relates to the extra output that a firm gains from increasing one of its factors of production.

Continue reading "The Law of Diminishing Returns"

Nov 25, 2022

Opportunity Cost in Economics

Opportunity cost in economics refers to the cost of one thing in terms of the next best thing that is given up in order to get it.

Continue reading "Opportunity Cost in Economics"

Nov 21, 2022

What is Pent Up Demand in Economics?

Pent Up Demand arises when consumers are prevented, for whatever reason, from spending at their desired rate. It leads to accelerated spending later on.

Continue reading "What is Pent Up Demand in Economics?"

Nov 21, 2022

The Bullwhip Effect in Supply Chain Output Explained

The Bullwhip Effect in economics refers to a situation where an economy is in crisis and its supply chain experiences rapid swings in output.

Continue reading "The Bullwhip Effect in Supply Chain Output Explained"

Nov 17, 2022

The Production Possibilities Curve (Frontier) Explained

The Production Possibilities Curve is a concave curve that illustrates all of the maximum output combinations of two goods. Click here for details.

Continue reading "The Production Possibilities Curve (Frontier) Explained"

Nov 17, 2022

Economies of Scope Explained

Economies of scope in an industry may exist if it cost effective for a firm to switch between production of multiple related products.

Continue reading "Economies of Scope Explained"

Nov 17, 2022

Minimum Efficient Scale Explained (with Examples & Graph)

The minimum efficient scale in economics relates to the smallest amount of output that a firm can produce while still optimizing its economies of scale.

Continue reading "Minimum Efficient Scale Explained (with Examples & Graph)"

Nov 17, 2022

The Short Run & Long Run Average Cost Curve (SRAC & LRAC)

The short run average cost curve, and long run average cost curve, both help to illustrate efficiency concepts in economics. Click here for details.

Continue reading "The Short Run & Long Run Average Cost Curve (SRAC & LRAC)"

Nov 17, 2022

Economies of Scale Explained (with Examples)

Internal and/or external economies of scale exist for an industry when there are cost advantages to be gained from increasing production.

Continue reading "Economies of Scale Explained (with Examples)"

Nov 17, 2022

Diseconomies of Scale (Definition & Examples)

In economics, diseconomies of scale occur when the average costs of production increase as output increases. There are several reasons why this happens...

Continue reading "Diseconomies of Scale (Definition & Examples)"

Nov 17, 2022

Factors of Production in Economics

The four factors of production in economics are land, labor, capital, and entrepreneurship. For details on these classifications, and more, click here.

Continue reading "Factors of Production in Economics"

Nov 17, 2022

The Division of Labor & Specialization

The division of labor occurs when a firm splits its workers into small specialized groups that each focus on a particular part of the production process.

Continue reading "The Division of Labor & Specialization"