Jun 03, 22 04:31 AM
The utility function in economics is used in order to rank and compare differing levels of consumer satisfaction i.e. different indifference curves.
Jun 02, 22 08:12 AM
Understanding consumer behavior and consumer buying habits is essential for firms, because it helps guide them to create the best products.
Jun 01, 22 03:25 AM
The marginal rate of substitution relates to indifference curves, and the ratio in which consumers prefer one good relative to another.
May 31, 22 06:44 AM
The indifference curve shows bundles of goods that yield an equal amount of utility to consumers, and multiple curves illustrate the indifference map.
May 31, 22 06:44 AM
The budget line plots all combinations of goods and services that a consumer can afford given his/her budget constraint (i.e. limited income).
Apr 28, 22 06:17 AM
The marginal rate of transformation relates the foregone production of one good in order to increase one unit of production of another good.
Apr 22, 22 07:45 AM
Capital mobility is a term that is used to describe how easily money can move from one country to another, and it has some important implications.
Apr 17, 22 06:20 AM
Capacity constraints are limiting factors prevent firms from expanding production in the short-run without disproportionately higher price increases.
Apr 16, 22 02:11 PM
Parallel conduct occurs when two or more firms in an industry behave in a similar way, e.g., by matching prices. It is anti-competitive, and may be illegal.
Apr 13, 22 10:24 AM
The sacrifice ratio in economics is a short-term concept that estimates the how much production must be sacrificed in order to reduce inflation.
Apr 12, 22 11:20 AM
Symmetric information is an important requirement for the efficient functioning of markets. It means that buyers and sellers have equal product knowledge.
Apr 12, 22 06:03 AM
The implementation lag of fiscal policy refers to the time taken to get that policy into action.
The utility function in economics is used in order to rank and compare differing levels of consumer satisfaction i.e. different indifference curves.
Continue reading "The Utility Function (Graph, Formula & Example)"
Understanding consumer behavior and consumer buying habits is essential for firms, because it helps guide them to create the best products.
The marginal rate of substitution relates to indifference curves, and the ratio in which consumers prefer one good relative to another.
The indifference curve shows bundles of goods that yield an equal amount of utility to consumers, and multiple curves illustrate the indifference map.
Continue reading "The Indifference Curve & Indifference Map"
The budget line plots all combinations of goods and services that a consumer can afford given his/her budget constraint (i.e. limited income).
Continue reading "The Budget Line & Budget Constraint (explained with graphs)"
The marginal rate of transformation relates the foregone production of one good in order to increase one unit of production of another good.
Continue reading "The Marginal Rate of Transformation (Formula & Cost, with Graphs)"
Capital mobility is a term that is used to describe how easily money can move from one country to another, and it has some important implications.
Continue reading "Capital Mobility Definition & International Capital Flows"
Capacity constraints are limiting factors prevent firms from expanding production in the short-run without disproportionately higher price increases.
Parallel conduct occurs when two or more firms in an industry behave in a similar way, e.g., by matching prices. It is anti-competitive, and may be illegal.
The sacrifice ratio in economics is a short-term concept that estimates the how much production must be sacrificed in order to reduce inflation.
Symmetric information is an important requirement for the efficient functioning of markets. It means that buyers and sellers have equal product knowledge.
Continue reading "Symmetric Information Definition in Economics"
The implementation lag of fiscal policy refers to the time taken to get that policy into action.
Legislative Lag is the term used to describe the delay that occurs between deciding upon a course of fiscal policy actions and then getting them approved.
Operational lag in economics refers to the time lag between a policy being implemented and it having real effects on the economy.
