AP Micro Review

The general concern of economics is with the study of the 

Unrecoverable costs are called

What is the difference between the short run and the long run in microeconomic analysis?

In perfectly competitive labor market, firms will hire until 

A firm earns a normal profit when its

External benefits exist when 

On the graph for a perfectly competitive firm, demand equals

Perfectly competitive firms are price ______

Government regulates monopolist at the fair return price, it would set price equal to_______

Binding price floors are set ______ market price

Ina monopsony, the following will be true regarding marginal factor cost and wage rate:

A market is efficient when

An optimal consumption bundle will exhaust a consumer's income and exhibit equal

Which of the following would cause the price of tortilla chips to rise?

A profit maximizing pure monopoly always operates in this range of the demand curve

The change in revenue generated by the sale of one more unit is called

A production function shows the relationship between inputs and 

Consumer surplus realized in an industry dominated by a perfect price discriminating monopolist

The study of the costs and benefits of doing one more unit of an activity is known as

Lower income households tend to by more Spam. Spam is a(n) _________ good

What is the highest possible Herfindahl-Hirschman Index number?

Good A and Good B have a cross-price elasticity of demand equal to -1.2. Goods A and B are

Which would be a positive economic statement?

A tax on a specific good is called a(n) 

Price elasticity of demand equals

On a graph of a perfectly price discriminating monopoly, demand equals