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DEMAND INCREASE AND SUPPLY DECREASE: A simultaneous increase in the willingness and ability of buyers to purchase a good at the existing price, illustrated by a rightward shift of the demand curve, and a decrease in the willingness and ability of sellers to sell a good at the existing price, illustrated by a leftward shift of the supply curve. When combined, both shifts result in an indeterminant change in equilibrium quantity and an increase in equilibrium price.

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AUTONOMOUS INVESTMENT: Business investment expenditures that are unrelated to income or production (especially national income or gross national product). These are investment expenditures that would occur even if national income was zero. Autonomous investment is graphically depicted as the vertical intercept of the investment line relating investment to national income. Changes in autonomous investment, along with changes in other autonomous expenditures, are what trigger the multiplier effect.

     See also | investment expenditures | national income | gross domestic product | investment line | autonomous consumption | autonomous expenditure | multiplier | induced investment |


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AUTONOMOUS INVESTMENT, AmosWEB GLOSS*arama, http://www.AmosWEB.com, AmosWEB LLC, 2000-2024. [Accessed: June 22, 2024].


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VARIABLE COST

In general, cost that changes with changes in the quantity of output produced. More specifically, variable cost is combined with the adjectives "total" and "average" to indicate the overall level of variable cost or the per unit variable cost. Variable cost depends on the amount produced. If there is no production, then there is no variable cost.

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