Economic Rent
Economic rent refers to the income earned by a factor of production that exceeds the minimum amount necessary to keep it engaged in its current use.
Microeconomics
The brand of economics that looks at the behaviour of individuals and businesses. In other words, it examines how consumers and businesses react to changes in variables. For example, how do consumers react to price changes and how does quality affect this decision making.
Determinants of Demand
Determinants of demand are the various factors that influence the quantity of a good or service that consumers are willing and able to buy at a given price.
Determinants of Supply
Determinants of supply are the factors that influence the quantity of goods or services that producers are willing and able to supply in a market.
Demand Schedule
A demand schedule is a tabular representation that shows the quantity of a good or service that consumers are willing and able to purchase at different price levels.
Cost of Goods Sold
Cost of goods sold refers to the direct costs associated with producing or acquiring the goods that a company sells to generate revenue.
Centrally Planned Economy
A centrally planned economy is an economic system in which the government controls and manages the allocation of resources, production, and distribution of goods and services.
Bait and Switch
Bait and switch is a deceptive sales tactic that involves advertising a desirable product or offer to attract customers, only to substitute it with a less desirable alternative upon arrival.
Average Fixed Cost
Table of Contents What is an Average Fixed Cost? Understanding Average Fixed Cost Formula Average Fixed Cost Curve Advantages Disadvantages Examples FAQs Average Fixed Cost: Definition, Formula & Examples Written by Paul Boyce Posted in Microeconomics > Production Theory Last Updated June 20, 2023 What is an Average Fixed Cost? In economics and business decision-making,
Agribusiness
Agribusiness refers to the integrated and commercialized agricultural activities that encompass production, processing, distribution, and marketing of agricultural products.
Cottage Industry
Cottage industry refers to small-scale, often home-based, businesses that involve manual labor and traditional production methods to create handmade or artisanal products.