Home
Explore
Exams
Search for anything
Login
Get started
Home
Business
Macroeconomics
["Supply & Demand"]
Chapter 7 - Consumers, Producers, and the Efficiency of Markets
0.0
(0)
Rate it
View linked note
Learn
Practice Test
Spaced Repetition
Match
Flashcards
Card Sorting
1/10
Earn XP
Description and Tags
Macroeconomics
Add tags
Study Analytics
All
Learn
Practice Test
Matching
Spaced Repetition
Name
Mastery
Learn
Test
Matching
Spaced
No study sessions yet.
11 Terms
View all (11)
Star these 11
1
New cards
consumer surplus
The increase in ________ of existing buyers is the reduction in the amount they pay.
2
New cards
Free markets
________ allocate the supply of goods to the buyers who value them most highly, as measured by their willingness to pay.
3
New cards
Welfare
________ economics- the study of how the allocation of resources affects the economic well- being.
4
New cards
Equality
________- the property of distributing economic prosperity uniformly among the members of society.
5
New cards
Efficiency
________- the property of a resource allocation of maximizing the total surplus received by all members of society.
6
New cards
Producer surplus
________ is used to measure the well- being of sellers in much the same way consumer surplus is used to measure the well- being of buyers.
7
New cards
Consumer surplus
________- the amount a buyer is willing to pay for a good minus the amount the buyer actually pays for it.
8
New cards
Producer surplus
________- the amount a seller paid for a good minus the sellers cost of providing it.
9
New cards
Free markets
________ allocate the demand for goods to the sellers who can produce them at the lowest cost.
10
New cards
consumer surplus
The difference between buyers willingness to pay and the market price is each buyers ________.
11
New cards
Free markets
________ produce the number of goods that maximize the sum of consumer and producer surplus.