|
|
AGGREGATE MARKET EQUILIBRIUM: The state of equilibrium that exists in the aggregate market when real aggregate expenditures are equal to real production with no imbalances to induce changes in the price level or real production. In other words, the opposing forces of aggregate demand (the buyers) and aggregate supply (the sellers) exactly offset each other. The four macroeconomic sector (household, business, government, and foreign) buyers purchase all of the real production that they seek at the existing price level and business-sector producers sell all of the real production that they have at the existing price level. The aggregate market equilibrium actually comes in two forms: (1) long-run equilibrium, in which all three aggregated markets (product, financial, and resource) are in equilibrium and (2) short-run equilibrium, in which the product and financial markets are in equilibrium, but the resource markets are not.
Visit the GLOSS*arama
|
|
|
|
|
Lesson 14: Production | Unit 2: Production Measures
|
Page: 10 of 25
|
In this unit, you should have learned about:- Total product as the total quantity of output produced for different amounts of variable input.
- How total product increases as the quantity of variable inputs are added, reaches a peak, and then declines.
- Average product as the output produced per unit of variable input.
- How average product increases for the first few units of variable inputs, reaches a peak, and then declines.
- Marginal product as the change in total product resulting from a change in variable input.
- How Marginal product increases for the first few units of variable inputs, reaches a peak, and then declines.
- The law of diminishing marginal returns as the guiding principle for short-run production.
|
|
|
|
|
|
|
NET EXPORTS DETERMINANTS Ceteris paribus factors, other than aggregate income or production, that are held constant when the net exports line is constructed and which cause the net exports line to shift when they change. Some of the more important net exports determinants are global economic conditions, exchange rates, and trade barriers.
Complete Entry | Visit the WEB*pedia |
|
|
GREEN LOGIGUIN
[What's This?]
Today, you are likely to spend a great deal of time surfing the Internet wanting to buy either a how-to book on building remote controlled airplanes or an extra large beach blanket. Be on the lookout for slow moving vehicles with darkened windows.
Your Complete Scope
This isn't me! What am I?
|
|
|
Ragnar Frisch and Jan Tinbergen were the 1st Nobel Prize winners in Economics in 1969.
|
|
|
"Inside the ring or out, ain't nothing wrong with going down. It's staying down that's wrong. " -- Muhammad Ali
|
|
PSE
Pacific Stock Exchange (US, LA and San Francisco)
|
|
|
Tell us what you think about AmosWEB. Like what you see? Have suggestions for improvements? Let us know. Click the User Feedback link.
User Feedback
|
|
