Unit 1: Markets are Efficient, Except . . . Intro to Microeconomics

Lesson 1d: Making Choices: Production Possibilities Curve and Benefit Cost Analysis

Key Terms

 

Key Terms Flash Cards - Click Here

Key Terms:

PPC:
production possibilities, necessity of choice, law of increasing costs, concave to the origin, opportunity cost, constant cost, benefit-cost analysis (marginal analysis), economic growth, consumer goods, capital goods, shrinking PPC, nonproportional growth

BCA:
marginal costs (MC), marginal benefits (MB), MB=MC Rule, sunk (fixed) costs

 

HOME

Lesson 1d