Costs you must pay regardless of the level of production
Because of the kinked demand curve, firms tend to keep prices the same
20% of the total
firms in an oligopoly or duopoly agree to cooperate by reducing quantity and raising Prices
value of all new goods and services purchased by private citizens during a given year
show income distribution among various classes of a society. Population is divided into quintiles
Total value of all goods and services produced by a nation for any given year
Above the kinked curve
Exports minus imports
The purchase price of all government expenses
Your average costs of production are increasing. Experiencing “decreasing returns to scale”
Down
A firm takes over a competitor
Firm control the factors of production needed to make a product from start to finish
Below the kinked curve
Costs that change as the level of production changes. (costs of raw materials, extra laborers, etc.
Q=minimum ATC
period of time in which the business can change some, but not all, if its factors of production. There will still be fixed costs (FC)
business spending
period of time in which a businesss can change all of their factors of production (there will be no fixed costs (FC) in the long run.)
typically found in an oligopoly or a duopoly
FC + VC=
Total value of goods and services produced within a nation for any given year
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