Documente Academic
Documente Profesional
Documente Cultură
interpret it. Also, given demand, you need to be able to calculate marginal
revenue when the price level changes. Remember that MR = Change in TR /
Change in Quantity.
3. Labor Productivity (TCO C)
Be able to calculate Marginal Product (MP), Marginal Revenue Product
(MRP), Marginal Cost (MC), and determine the proper number of workers
to hire using Marginal Analysis (just like we did in our week 2 TDA
discussions).
4. Calculating Profit or Loss (TCO C)
Given a product price, as well as fixed and variable costs at different
production levels, be able to determine whether the firm earns an economic
profit, breaks even, or incurs an economic loss at the best possible
production level. Also be able to determine how much the profit or loss will
be (similar to a question you had on Quiz 1).
5. Marginal Analysis (TCO D)
A key issue covered in several TCOs involves how firms in different market
types make production decisions. Know how marginal analysis is used in
imperfect markets (monopoly, monopolistic competition, and oligopoly) to
make those choices when given info on fixed costs, variable costs, quantity
and price. That is, what should the production level be at different price
levels or different cost levels using marginal analysis?
Be able to calculate percentage changes in nominal and real GDP using the
formula for the GDP deflator. Also, be able to calculate the size of the labor
force and the unemployment rate using appropriate formulas.