economics ch 6

groups of firms that produce similar products or provide similar services

each firm in the market

purest form of competition

the situation that arises when a single firm is the only supplier of a good for which no substitute exists

certain areas in order to encourage production

occurs when a single firm can fill the demand for a good more efficiently than if there were multiple firms in the industry

the market is one in which each firm promotes a differentiated product

a market that occurs when an industry is dominated by only a few firms

when only a few firms are involved in an industry, the owners or managers of those firms might all agree to charge the same high prices and offer only the same sort of goods and services, thereby placing unnecessary expenses on consumers

one of the first and most important antitrust laws

a collusion of businesses which join together to restrict or eliminate competition

forces the consumer to buy a certain product before he can buy the product he really wants

a governmental agency whose purpose is to investigate trade practices

the quality of producing effectively with a minimum of waste

the total amount invested in the production of a good,

the total amount of a good that is produced

the sum cost of all the factors of production used in making goods

the sum cost of all the factors of production used in producing one unit of a good

three elements of mass production

four costs

an expense that does not change even if the business is not producing anything

an expense that changes as the operation of the business is carried out

the cost to produce one more unit of a product

how much additional output a company can produce by adding one more worker

the additional cost to produce one more pot

total revenue from sales minus the total cost of producing products

the total revenue is divided by the product output

multiplying the marginal revenue bby the output of pots per day

determined by subtracting the total cost from the total revenue

increasing by one additional unit results in no additional income

ability of one entity to produce goods or provide services more efficiently than his competitors when given the same resources

the ability of an entity to produce a good or provide a service at an opportunity cost that is lower than that of another producer