ECON 350

A manager is a person who direct resources in order to acheive a stated goal

Economics is the science of making decisions in the presence of scarce resources

Opportunity cost refers to the cost of the explicit and implicity resources that are foregone when a decision is made

• 1. the ease or difficulty of entry
• 2. the power of input suppliers
• 3. the power of buyers
• 4. the nature of industry rivalry
• 5. presence of substitues or complements

The value consumers get from a good, but do not have to pay for

• Income
• Substitutes
• Consumer Expectations
• Population
• Advertising

• Input prices
• Technology or governement regulation
• Number of firms
• Subsititutes in production
• Excise and ad valorem taxes
• Producer expectations

The dollar amount paid to a firm under a price ceiling plus the nonpecuniary price.