Econ 4010

  1. Adverse selection
    situation in which insurance companies find that a disproportionately large share of their costumers come from high-risk groups
  2. Alternative Cost
    the value of the product that particular resources could have produced had they been used in the best alternative way; also called opportunity cost.
  3. Asymmetric information
    The situation in which two or more actors in an economic relationship have different information about each other and/or about their economic circumstances
  4. Auction
    a market structure in which potential buyers make binding offers that indicate prices that they would be willing to pay for various items that have been put up for sale.
Card Set
Econ 4010
Vocabulary for the final