Video Handbook Index

• Accounting cost
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2b. Long-Run and Short-Run Decisions
• Ad valorem tax
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1h. Taxes as Market Distortions
      • E1j. Taxes: Numerical Example
• Adverse selection
  • I. Asymmetric Information
    • I1. Adverse Selection
      • I1a. Definition and Efficiency Consequences of Adverse Selection
      • I1b. Screening as a Solution to Adverse Selection
      • I1c. Signaling as a Solution to Adverse Selection
• Arrow-Pratt measures of risk aversion
  • C. Theory of the Consumer
    • C10. Decision Making Under Uncertainty
      • C10f. Measures of Risk Aversion (Calculus)
• Asymmetric information
  • I. Asymmetric Information
    • I1. Adverse Selection
      • I1a. Definition and Efficiency Consequences of Adverse Selection
      • I1b. Screening as a Solution to Adverse Selection
      • I1c. Signaling as a Solution to Adverse Selection
    • I2. Moral Hazard
      • I2a. Definition and Consequences of Moral Hazard
      • I2b. The General Principal-Agent Problem (Calculus)
      • I2c. Monitoring as a Solution to Moral Hazard
      • I2d. Incentive Contracts as a Solution to Moral Hazard (Calculus)
      • I2e. Optimal Contract with Moral Hazard and Risk Aversion (Calculus)
• Average cost
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2i. Marginal and Average Cost
      • D2k. Examples of Cost Function Calculations (Calculus)
• Average fixed cost
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2i. Marginal and Average Cost
      • D2k. Examples of Cost Function Calculations (Calculus)
• Average product
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1c. Average Product
• Average variable cost
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2i. Marginal and Average Cost
      • D2k. Examples of Cost Function Calculations (Calculus)
• Backward induction
  • F. Game Theory
    • F3. Sequential Games
      • F3b. Backward Induction and Continuation Value
      • F3c. Subgame-Perfect Nash Equilibrium
• Backward-bending labor supply
  • C. Theory of the Consumer
    • C8. Supply of Labor: The Labor-Leisure Decision
      • C8e. Backward Bending Labor Supply Curves
• Bertrand price competition
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3j. Bertrand Price Competition
• Best response (in a game)
  • F. Game Theory
    • F2. Static Games
      • F2a. Best Response
      • F2c. Relation between Best Response and Dominance
• Borrowing
  • C. Theory of the Consumer
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9a. The Consumption-Savings Decision
• Budget constraints
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2a. Budget Constraints
      • C2j. Budget Constraints with Kinks
      • C2l. Budget Constraints with Endowments
• Bundling in price discrimination
  • G. Imperfect Competition
    • G2. Price Discrimination
      • G2k. Price Discrimination through Bundling
• Capital demand
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3k. Demand for Factors of Production
• Cartels
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3b. Cartel Model
      • G3c. Analysis of the Cartel Model (Calculus)
• Certainty equivalent
  • C. Theory of the Consumer
    • C10. Decision Making Under Uncertainty
      • C10c. Risk Aversion
• CES preferences/utility function
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• CES production function
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1a. Firms as Production Technologies
• Circular flow of economic activity
  • B. Basics
    • B1. Circular Flow of Economic Activity
      • B1a. Circular Flow of Economic Activity
• Cobb-Douglas compensated demand functions
  • C. Theory of the Consumer
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5b. Compensated Price Change (Calculus)
• Cobb-Douglas demand functions
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2f. Demand Functions for Cobb-Douglas Preferences (Calculus)
    • C4. Comparative Statics of Demand: Price Changes
      • C4d. Comparative Statics of Demand: Own Price Change (Calculus)
• Cobb-Douglas preferences/utility function
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Cobb-Douglas production function
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1a. Firms as Production Technologies
• Commodities/Commodity Bundles
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1a. Commodities and Commodity Bundles
      • C1b. Preferences and Properties of Preference Rankings
• Common knowledge
  • F. Game Theory
    • F2. Static Games
      • F2e. Common Knowledge
• Comparative statics of compensated price changes
  • C. Theory of the Consumer
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5a. Compensated Price Changes
      • C5b. Compensated Price Change (Calculus)
      • C5c. Compensated Price Changes for Cobb-Douglas Preferences (Calculus)
      • C5d. Compensated Price Changes: The Case of Perfect Complements
      • C5e. Compensated Price Changes: The Case of Perfect Substitutes
• Comparative statics of income changes
  • C. Theory of the Consumer
    • C3. Comparative Statics of Demand: Income Changes
      • C3a. Comparative Statics of Income Changes
      • C3b. Income-Consumption Loci and Engel Curves
      • C3c. Income Elasticity
      • C3d. Comparative Statics of Income Changes (Calculus)
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9a. The Consumption-Savings Decision
      • C9b. Analysis of the Consumption-Savings Decision (Calculus)
      • C9c. Comparative Statics of the Consumption-Savings Decision
• Comparative statics of interest rate changes
  • C. Theory of the Consumer
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9c. Comparative Statics of the Consumption-Savings Decision
• Comparative statics of market equilibrium
  • A. Math Topics
    • A5. Comparative Statics
      • A5c. Comparative Statics of a Market Equilibrium
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1e. Comparative Statics in Competitive Markets: Supply and Demand Shifts
• Comparative statics of optimal value functions
  • A. Math Topics
    • A5. Comparative Statics
      • A5b. Comparative Statics of Optimal Values: The Envelope Theorem (Calculus)
• Comparative statics of price changes
  • C. Theory of the Consumer
    • C4. Comparative Statics of Demand: Price Changes
      • C4a. Comparative Statics of Price Changes
      • C4b. Price-Consumption Loci and Ordinary Demand Curves
      • C4c. Own Price Elasticity
      • C4d. Comparative Statics of Demand: Own Price Change (Calculus)
      • C4e. Comparative Statics of Demand: Cross-Price Changes
• Comparative statics of solution functions
  • A. Math Topics
    • A5. Comparative Statics
      • A5a. Comparative Statics of Solution Functions (Calculus)
• Comparative statics of the consumption/savings decision
  • C. Theory of the Consumer
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9a. The Consumption-Savings Decision
      • C9b. Analysis of the Consumption-Savings Decision (Calculus)
      • C9c. Comparative Statics of the Consumption-Savings Decision
• Comparative statics of wage changes
  • C. Theory of the Consumer
    • C8. Supply of Labor: The Labor-Leisure Decision
      • C8d. Comparative Statics of Labor Supply
      • C8e. Backward Bending Labor Supply Curves
• Compensated (Hicksian) demand curves and demand functions
  • C. Theory of the Consumer
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5b. Compensated Price Change (Calculus)
• Compensated price change
  • C. Theory of the Consumer
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5a. Compensated Price Changes
      • C5b. Compensated Price Change (Calculus)
      • C5c. Compensated Price Changes for Cobb-Douglas Preferences (Calculus)
      • C5d. Compensated Price Changes: The Case of Perfect Complements
      • C5e. Compensated Price Changes: The Case of Perfect Substitutes
• Compensating variation
  • C. Theory of the Consumer
    • C7. Consumer Surplus, Equivalent and Compensating Variation
      • C7a. Equivalent and Compensating Variation
• Competitive equilibrium
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1a. The Notion of Partial Equilibrium — A Single Market
      • E1b. Short-Run vs. Long-Run Equilibrium
      • E1c. Aggregate Supply and Equilibrium: Numerical Example - Short Run
      • E1d. Aggregate Supply and Equilibrium: Numerical Example - Long Run
      • E1e. Comparative Statics in Competitive Markets: Supply and Demand Shifts
      • E1g. Competitive Equilibrium and Efficiency
• Completeness
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1b. Preferences and Properties of Preference Rankings
• Constant returns to scale
  • A. Math Topics
    • A3. Scale Properties of Functions
      • A3a. Scale Properties of Functions
      • A3b. Scale Properties of Functions (Calculus Applications)
• Constrained optimization
  • A. Math Topics
    • A4. Solving Optimization Problems
      • A4a. General Structure of Optimization Problems
      • A4c. Constrained Optimization
      • A4d. Lagrangians (Calculus)
      • A4e. Corner Solutions
• Consumer surplus
  • C. Theory of the Consumer
    • C7. Consumer Surplus, Equivalent and Compensating Variation
      • C7b. Consumer Surplus
• Consumer, Theory of
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1a. Commodities and Commodity Bundles
      • C1b. Preferences and Properties of Preference Rankings
      • C1c. Utility Functions
      • C1d. Monotonic Transformations of Utility
      • C1e. Marginal Utility (MU)
      • C1f. Marginal Utility (Calculus)
      • C1g. Indifference Curves
      • C1h. Properties of Indifference Curves
      • C1i. Marginal Rate of Substitution (MRS)
      • C1j. Marginal Rate of Substitution (Calculus)
      • C1k. Common Types of Preferences
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2a. Budget Constraints
      • C2b. Utility Maximization Subject to a Budget Constraint
      • C2c. Utility Maximization Subject to a Budget Constraint (Calculus)
      • C2d. Properties of Ordinary ("Marshallian") Demand Functions and Indirect Utility Functions
      • C2e. Ordinary Demand Curves
      • C2f. Demand Functions for Cobb-Douglas Preferences (Calculus)
      • C2g. Demand Functions for Perfect Complements
      • C2h. Demand Functions for Perfect Substitutes
      • C2i. Utility Maximization with Corner Solutions
      • C2j. Budget Constraints with Kinks
      • C2k. Utility Maximization with Kinked Budget Constraints
      • C2l. Budget Constraints with Endowments
    • C3. Comparative Statics of Demand: Income Changes
      • C3a. Comparative Statics of Income Changes
      • C3b. Income-Consumption Loci and Engel Curves
      • C3c. Income Elasticity
      • C3d. Comparative Statics of Income Changes (Calculus)
    • C4. Comparative Statics of Demand: Price Changes
      • C4a. Comparative Statics of Price Changes
      • C4b. Price-Consumption Loci and Ordinary Demand Curves
      • C4c. Own Price Elasticity
      • C4d. Comparative Statics of Demand: Own Price Change (Calculus)
      • C4e. Comparative Statics of Demand: Cross-Price Changes
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5a. Compensated Price Changes
      • C5b. Compensated Price Change (Calculus)
      • C5c. Compensated Price Changes for Cobb-Douglas Preferences (Calculus)
      • C5d. Compensated Price Changes: The Case of Perfect Complements
      • C5e. Compensated Price Changes: The Case of Perfect Substitutes
    • C6. The Slutsky Equation
      • C6a. Income and Substitution Effects
      • C6b. The Slutsky Equation
      • C6c. Proof of the Slutsky Equation (Calculus)
      • C6d. Applications of the Slutsky Decomposition
    • C7. Consumer Surplus, Equivalent and Compensating Variation
      • C7a. Equivalent and Compensating Variation
      • C7b. Consumer Surplus
    • C8. Supply of Labor: The Labor-Leisure Decision
      • C8a. Consumption-Leisure Indifference Curves
      • C8b. Consumption-Leisure Budget Constraints and The Labor-Leisure Decision
      • C8c. Analysis of the Consumption-Leisure Decision (Calculus)
      • C8d. Comparative Statics of Labor Supply
      • C8e. Backward Bending Labor Supply Curves
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9a. The Consumption-Savings Decision
      • C9b. Analysis of the Consumption-Savings Decision (Calculus)
      • C9c. Comparative Statics of the Consumption-Savings Decision
      • C9d. Interest Rates and the Level of Savings
      • C9e. Interest Rates and the Level of Borrowing
      • C9f. Interest Rate Spreads and the Consumption-Savings Decision
      • C9g. Interest Rates and Discounted Present Value
    • C10. Decision Making Under Uncertainty
      • C10a. Expected Value and the St. Petersburg Paradox
      • C10b. Expected Utility
      • C10c. Risk Aversion
      • C10d. Demand for Insurance
      • C10e. Demand for Risky Assets (Calculus)
      • C10f. Measures of Risk Aversion (Calculus)
• Consumption-leisure decision
  • C. Theory of the Consumer
    • C8. Supply of Labor: The Labor-Leisure Decision
      • C8a. Consumption-Leisure Indifference Curves
      • C8b. Consumption-Leisure Budget Constraints and The Labor-Leisure Decision
      • C8c. Analysis of the Consumption-Leisure Decision (Calculus)
• Consumption-savings decision
  • C. Theory of the Consumer
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9a. The Consumption-Savings Decision
      • C9b. Analysis of the Consumption-Savings Decision (Calculus)
      • C9c. Comparative Statics of the Consumption-Savings Decision
      • C9d. Interest Rates and the Level of Savings
      • C9e. Interest Rates and the Level of Borrowing
      • C9f. Interest Rate Spreads and the Consumption-Savings Decision
• Continuous preferences
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1b. Preferences and Properties of Preference Rankings
• Contract curve
  • E. Equilibrium in Competitive Markets
    • E2. General Equilibrium and Welfare Analysis
      • E2e. The Contract Curve
      • E2f. Example of Calculating a Contract Curve (Calculus)
• Corner solutions
  • A. Math Topics
    • A4. Solving Optimization Problems
      • A4e. Corner Solutions
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2i. Utility Maximization with Corner Solutions
• Cost function (examples)
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2k. Examples of Cost Function Calculations (Calculus)
• Cost function, long run
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2e. Long-Run Cost Minimization
      • D2f. Long-Run Cost Minimization in Standard Cases
      • D2g. The Lagrangian Approach to Long-Run Cost Minimization (Calculus)
      • D2h. Long-Run vs. Short-Run Costs
• Cost function, short run
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2d. Short-Run Cost Functions: Examples
      • D2h. Long-Run vs. Short-Run Costs
      • D2k. Examples of Cost Function Calculations (Calculus)
• Cost minimization
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2e. Long-Run Cost Minimization
      • D2f. Long-Run Cost Minimization in Standard Cases
      • D2g. The Lagrangian Approach to Long-Run Cost Minimization (Calculus)
• Cost, accounting
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2b. Long-Run and Short-Run Decisions
• Cost, average
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2i. Marginal and Average Cost
      • D2k. Examples of Cost Function Calculations (Calculus)
• Cost, average fixed
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2i. Marginal and Average Cost
      • D2k. Examples of Cost Function Calculations (Calculus)
• Cost, average variable
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2i. Marginal and Average Cost
      • D2k. Examples of Cost Function Calculations (Calculus)
• Cost, fixed
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2c. Short-Run Cost
• Cost, marginal
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2i. Marginal and Average Cost
      • D2j. Formal Definition of Marginal Cost (Calculus)
• Cost, variable
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2c. Short-Run Cost
• Cournot duopoly
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3d. Cournot Duopoly Model (Calculus)
      • G3e. Cournot Duopoly Example (Calculus)
      • G3f. Cournot Model with N Firms (Calculus)
      • G3l. Cournot Model with Product Differentiation (Calculus)
      • G3n. Comparing Cournot and Bertrand Solutions with Product Differentiation (Calculus)
• Cross price elasticity
  • C. Theory of the Consumer
    • C4. Comparative Statics of Demand: Price Changes
      • C4e. Comparative Statics of Demand: Cross-Price Changes
• Deadweight loss
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1g. Competitive Equilibrium and Efficiency
      • E1h. Taxes as Market Distortions
      • E1i. Market Distortions Not Involving Taxes
      • E1j. Taxes: Numerical Example
  • G. Imperfect Competition
    • G1. Monopoly
      • G1g. Inefficiency
      • G1h. Analysis of Inefficiency (Calculus)
• Decreasing returns to scale
  • A. Math Topics
    • A3. Scale Properties of Functions
      • A3a. Scale Properties of Functions
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1m. Returns to Scale and Homogeneity
• Demand curve, compensated (Hicksian)
  • C. Theory of the Consumer
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5a. Compensated Price Changes
• Demand curve, ordinary (Marshallian)
  • C. Theory of the Consumer
    • C4. Comparative Statics of Demand: Price Changes
      • C4b. Price-Consumption Loci and Ordinary Demand Curves
• Demand for capital
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3k. Demand for Factors of Production
• Demand for labor
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3k. Demand for Factors of Production
• Demand functions, compensated (Hicksian)
  • C. Theory of the Consumer
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5b. Compensated Price Change (Calculus)
• Demand functions, ordinary (Marshallian)
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2d. Properties of Ordinary ("Marshallian") Demand Functions and Indirect Utility Functions
• Demand schedules
  • B. Basics
    • B3. Supply, Demand and Markets
      • B3a. Supply, Demand and Markets
• Dimensions of economic variables
  • B. Basics
    • B2. Stocks, Flows and the Dimensions of Economic Activity
      • B2a. Stocks, Flows and the Dimensions of Economic Activity
• Diminishing marginal product
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1e. Properties of Marginal and Average Product
      • D1f. Formal Definition of Marginal Product and Examples (Calculus)
• Diminishing marginal rate of substitution
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1i. Marginal Rate of Substitution (MRS)
      • C1j. Marginal Rate of Substitution (Calculus)
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1i. Marginal Rate of Technical Substitution
• Diminishing marginal rate of technical substitution
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1j. Formal Definition of Marginal Rate of Technical Substitution (Calculus)
• Diminishing marginal utility
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1e. Marginal Utility (MU)
      • C1f. Marginal Utility (Calculus)
• Discounted present value
  • C. Theory of the Consumer
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9g. Interest Rates and Discounted Present Value
• Discounting (in games)
  • F. Game Theory
    • F3. Sequential Games
      • F3g. The Basics of Discounting
• Distortions, market
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1h. Taxes as Market Distortions
      • E1i. Market Distortions Not Involving Taxes
      • E1j. Taxes: Numerical Example
• Dominance (in a game)
  • F. Game Theory
    • F2. Static Games
      • F2b. Dominance
      • F2c. Relation between Best Response and Dominance
      • F2f. Iterated Dominance
• Duopoly, Bertrand
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3j. Bertrand Price Competition
      • G3m. Bertrand Model with Product Differentiation (Calculus)
      • G3n. Comparing Cournot and Bertrand Solutions with Product Differentiation (Calculus)
• Duopoly, Cournot
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3d. Cournot Duopoly Model (Calculus)
      • G3e. Cournot Duopoly Example (Calculus)
• Duopoly, Stackelberg
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3g. Stackelberg Model (Calculus)
      • G3h. Stackelberg with Entry Deterrence (Calculus)
      • G3i. Graphical Comparison of Models (Calculus)
• Economies of scale
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2l. Economies of Scale
• Edgeworth Box
  • E. Equilibrium in Competitive Markets
    • E2. General Equilibrium and Welfare Analysis
      • E2b. The Edgeworth Box
      • E2c. Examples of the Edgeworth Box
      • E2g. Demand and Trade in Edgeworth Box
      • E2h. Equilibrium in the Edgeworth Box
      • E2i. Examples of Equilibrium in the Edgeworth Box (Calculus)
      • E2j. The First Welfare Theorem
• Efficiency of a competitive market
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1g. Competitive Equilibrium and Efficiency
• Efficiency, Pareto
  • E. Equilibrium in Competitive Markets
    • E2. General Equilibrium and Welfare Analysis
      • E2d. Pareto Efficiency
• Elasticity
  • A. Math Topics
    • A1. Elasticity
      • A1a. Elasticity
• Elasticity, cross-price
  • C. Theory of the Consumer
    • C4. Comparative Statics of Demand: Price Changes
      • C4e. Comparative Statics of Demand: Cross-Price Changes
• Elasticity, income
  • C. Theory of the Consumer
    • C4. Comparative Statics of Demand: Price Changes
      • C4c. Own Price Elasticity
      • C4d. Comparative Statics of Demand: Own Price Change (Calculus)
• Elasticity, own-price
  • C. Theory of the Consumer
    • C4. Comparative Statics of Demand: Price Changes
      • C4c. Own Price Elasticity
• Endowment point (in the Edgeworth Box)
  • E. Equilibrium in Competitive Markets
    • E2. General Equilibrium and Welfare Analysis
      • E2c. Examples of the Edgeworth Box
• Endowments (budget constraints with endowments)
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2l. Budget Constraints with Endowments
• Engel curves
  • C. Theory of the Consumer
    • C3. Comparative Statics of Demand: Income Changes
      • C3b. Income-Consumption Loci and Engel Curves
• Envelope Theorem
  • A. Math Topics
    • A5. Comparative Statics
      • A5b. Comparative Statics of Optimal Values: The Envelope Theorem (Calculus)
• Equilibrium in competitive markets
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1a. The Notion of Partial Equilibrium — A Single Market
      • E1b. Short-Run vs. Long-Run Equilibrium
      • E1c. Aggregate Supply and Equilibrium: Numerical Example - Short Run
      • E1d. Aggregate Supply and Equilibrium: Numerical Example - Long Run
      • E1e. Comparative Statics in Competitive Markets: Supply and Demand Shifts
      • E1f. Welfare in Partial Equilibrium
      • E1g. Competitive Equilibrium and Efficiency
      • E1h. Taxes as Market Distortions
      • E1i. Market Distortions Not Involving Taxes
      • E1j. Taxes: Numerical Example
    • E2. General Equilibrium and Welfare Analysis
      • E2a. The Concept of General Equilibrium
      • E2b. The Edgeworth Box
      • E2c. Examples of the Edgeworth Box
      • E2d. Pareto Efficiency
      • E2e. The Contract Curve
      • E2f. Example of Calculating a Contract Curve (Calculus)
      • E2g. Demand and Trade in Edgeworth Box
      • E2h. Equilibrium in the Edgeworth Box
      • E2i. Examples of Equilibrium in the Edgeworth Box (Calculus)
      • E2j. The First Welfare Theorem
      • E2k. The Second Welfare Theorem
      • E2l. Edgeworth Box with Two Firms
      • E2m. General Equilibrium with Firms and Consumers
• Equilibrium price and quantity
  • B. Basics
    • B3. Supply, Demand and Markets
      • B3a. Supply, Demand and Markets
• Equilibrium, long run
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1b. Short-Run vs. Long-Run Equilibrium
      • E1d. Aggregate Supply and Equilibrium: Numerical Example - Long Run
• Equilibrium, short run
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1b. Short-Run vs. Long-Run Equilibrium
      • E1c. Aggregate Supply and Equilibrium: Numerical Example - Short Run
• Equivalent variation
  • C. Theory of the Consumer
    • C7. Consumer Surplus, Equivalent and Compensating Variation
      • C7a. Equivalent and Compensating Variation
• Euler's Theorem
  • A. Math Topics
    • A3. Scale Properties of Functions
      • A3b. Scale Properties of Functions (Calculus Applications)
• Excess demand
  • B. Basics
    • B3. Supply, Demand and Markets
      • B3a. Supply, Demand and Markets
• Exit decision
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3e. Shut-Down and Exit Decisions
• Expansion path, long run
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2e. Long-Run Cost Minimization
• Expected utility
  • C. Theory of the Consumer
    • C10. Decision Making Under Uncertainty
      • C10b. Expected Utility
• Expected value
  • C. Theory of the Consumer
    • C10. Decision Making Under Uncertainty
      • C10a. Expected Value and the St. Petersburg Paradox
• Expenditure minimization
  • C. Theory of the Consumer
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5b. Compensated Price Change (Calculus)
• Extensive form games
  • F. Game Theory
    • F1. Representing Games
      • F1b. Normal-Form Representation
      • F1c. Extensive-Form Representation
      • F1e. Information Sets and the Strategy Definition
• Externalities
  • H. Externalities and Public Goods
    • H1. Externalities
      • H1a. Externalities Definition and Typology
      • H1b. Inefficiency in Markets with Externalities
      • H1c. Role of Market Structure
      • H1d. Solving Externalities through Mergers (Calculus)
      • H1e. Solving Externalities by Establishing Property Rights
      • H1f. Solving Externalities Through Price and Quantity Regulation
      • H1g. Analysis of Cap and Trade Regulation (Calculus)
• Externalities and public goods
  • H. Externalities and Public Goods
    • H1. Externalities
      • H1a. Externalities Definition and Typology
      • H1b. Inefficiency in Markets with Externalities
      • H1c. Role of Market Structure
      • H1d. Solving Externalities through Mergers (Calculus)
      • H1e. Solving Externalities by Establishing Property Rights
      • H1f. Solving Externalities Through Price and Quantity Regulation
      • H1g. Analysis of Cap and Trade Regulation (Calculus)
    • H2. Public Goods
      • H2a. Public Goods Definition and Efficient Provision
      • H2b. Analysis of Efficient Public Goods Provision (Calculus)
      • H2c. Analysis of Private Provision of Public Goods (Calculus)
      • H2d. Analysis of Public Good Provision via Benefit Taxation (Calculus)
      • H2e. Analysis of Public Good Provision via Political Competition (Calculus)
• Factor/input demand
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3k. Demand for Factors of Production
• Firm, definition
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1a. Firms as Production Technologies
• Firm, Theory of
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1a. Firms as Production Technologies
      • D1b. Total Product
      • D1c. Average Product
      • D1d. Marginal Product
      • D1e. Properties of Marginal and Average Product
      • D1f. Formal Definition of Marginal Product and Examples (Calculus)
      • D1g. A Note on Timing and Inputs
      • D1h. Isoquants
      • D1i. Marginal Rate of Technical Substitution
      • D1j. Formal Definition of Marginal Rate of Technical Substitution (Calculus)
      • D1k. Examples of Marginal Rate of Technical Substitution (Calculus)
      • D1l. Sufficient Conditions for Diminishing Marginal Rate of Technical Substitution (Calculus)
      • D1m. Returns to Scale and Homogeneity
    • D2. Cost Minimization and Cost Functions
      • D2a. Derivation of Cost
      • D2b. Long-Run and Short-Run Decisions
      • D2c. Short-Run Cost
      • D2d. Short-Run Cost Functions: Examples
      • D2e. Long-Run Cost Minimization
      • D2f. Long-Run Cost Minimization in Standard Cases
      • D2g. The Lagrangian Approach to Long-Run Cost Minimization (Calculus)
      • D2h. Long-Run vs. Short-Run Costs
      • D2i. Marginal and Average Cost
      • D2j. Formal Definition of Marginal Cost (Calculus)
      • D2k. Examples of Cost Function Calculations (Calculus)
      • D2l. Economies of Scale
    • D3. Optimal Supply in Competitive Markets
      • D3a. The Notion of Supply and the Supply Curve
      • D3b. Marginal Conditions for Profit-Maximizing Output Choices
      • D3c. First- and Second-Order Conditions for Supply (Calculus)
      • D3d. Effect on Profit of a Price Change (Calculus)
      • D3e. Shut-Down and Exit Decisions
      • D3f. Supply Curve
      • D3g. Short-Run Supply: Numerical Example
      • D3h. Long-Run Supply: Numerical Example
      • D3i. Market Supply Curve
      • D3j. Caveats for Long-Run Supply
      • D3k. Demand for Factors of Production
• First degree price discrimination
  • G. Imperfect Competition
    • G2. Price Discrimination
      • G2b. First Degree Price Discrimination
      • G2c. Analysis of First Degree Price Discrimination (Calculus)
      • G2i. Analysis of First-Degree Price Discrimination with a Two-Part Tariff (Calculus)
• First order conditions (cost minimization)
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2e. Long-Run Cost Minimization
      • D2g. The Lagrangian Approach to Long-Run Cost Minimization (Calculus)
• First order conditions (expenditure minimization)
  • C. Theory of the Consumer
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5a. Compensated Price Changes
      • C5b. Compensated Price Change (Calculus)
• First order conditions (general optimization problems)
  • A. Math Topics
    • A4. Solving Optimization Problems
      • A4b. Unconstrained Optimization
      • A4c. Constrained Optimization
      • A4d. Lagrangians (Calculus)
• First order conditions (profit maximization)
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3b. Marginal Conditions for Profit-Maximizing Output Choices
      • D3c. First- and Second-Order Conditions for Supply (Calculus)
• First order conditions (utility maximization)
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2b. Utility Maximization Subject to a Budget Constraint
      • C2c. Utility Maximization Subject to a Budget Constraint (Calculus)
• First Welfare Theorem
  • E. Equilibrium in Competitive Markets
    • E2. General Equilibrium and Welfare Analysis
      • E2j. The First Welfare Theorem
      • E2l. Edgeworth Box with Two Firms
• First-mover advantage/disadvantage
  • F. Game Theory
    • F3. Sequential Games
      • F3e. First-Mover Advantage/Disadvantage
• Fixed cost
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2c. Short-Run Cost
• Game theory
  • F. Game Theory
    • F1. Representing Games
      • F1a. Strategic Settings and the Definition of Game Theory
      • F1b. Normal-Form Representation
      • F1c. Extensive-Form Representation
      • F1d. The Formal Definition of a Strategy and Game Forms
      • F1e. Information Sets and the Strategy Definition
      • F1f. Representing Simultaneous Moves in the Extensive Form
      • F1g. Beliefs, Mixed Strategies, and Expected Payoffs
    • F2. Static Games
      • F2a. Best Response
      • F2b. Dominance
      • F2c. Relation between Best Response and Dominance
      • F2d. Efficiency
      • F2e. Common Knowledge
      • F2f. Iterated Dominance
      • F2g. Nash Equilibrium
      • F2h. Dominance and Nash Equilibrium in Some Classic Normal-Form Games
      • F2i. Mixed Strategy Nash Equilibrium
    • F3. Sequential Games
      • F3a. Sequential Rationality and Incredible Threats
      • F3b. Backward Induction and Continuation Value
      • F3c. Subgame-Perfect Nash Equilibrium
      • F3d. Technical Notes on Backward Induction, SPNE, and Continuation Value
      • F3e. First-Mover Advantage/Disadvantage
      • F3f. Finitely Repeated Games - Rudimentary Analysis
      • F3g. The Basics of Discounting
      • F3h. Infinitely Repeated Games - Rudimentary Analysis
• Games, extensive form
  • F. Game Theory
    • F1. Representing Games
      • F1b. Normal-Form Representation
      • F1c. Extensive-Form Representation
      • F1e. Information Sets and the Strategy Definition
• Games, normal form
  • F. Game Theory
    • F1. Representing Games
      • F1b. Normal-Form Representation
      • F1c. Extensive-Form Representation
• Games, repeated
  • F. Game Theory
    • F3. Sequential Games
      • F3d. Technical Notes on Backward Induction, SPNE, and Continuation Value
      • F3h. Infinitely Repeated Games - Rudimentary Analysis
• Games, sequential
  • F. Game Theory
    • F3. Sequential Games
      • F3a. Sequential Rationality and Incredible Threats
      • F3b. Backward Induction and Continuation Value
      • F3c. Subgame-Perfect Nash Equilibrium
      • F3e. First-Mover Advantage/Disadvantage
• Games, static
  • F. Game Theory
    • F2. Static Games
      • F2a. Best Response
      • F2b. Dominance
      • F2c. Relation between Best Response and Dominance
      • F2d. Efficiency
      • F2e. Common Knowledge
      • F2f. Iterated Dominance
      • F2g. Nash Equilibrium
      • F2h. Dominance and Nash Equilibrium in Some Classic Normal-Form Games
      • F2i. Mixed Strategy Nash Equilibrium
• General equilibrium
  • E. Equilibrium in Competitive Markets
    • E2. General Equilibrium and Welfare Analysis
      • E2a. The Concept of General Equilibrium
      • E2m. General Equilibrium with Firms and Consumers
• Giffen goods
  • C. Theory of the Consumer
    • C4. Comparative Statics of Demand: Price Changes
      • C4a. Comparative Statics of Price Changes
      • C4b. Price-Consumption Loci and Ordinary Demand Curves
    • C6. The Slutsky Equation
      • C6d. Applications of the Slutsky Decomposition
• Grim-trigger strategy
  • F. Game Theory
    • F3. Sequential Games
      • F3h. Infinitely Repeated Games - Rudimentary Analysis
• Gross complements/gross substitutes
  • C. Theory of the Consumer
    • C4. Comparative Statics of Demand: Price Changes
      • C4e. Comparative Statics of Demand: Cross-Price Changes
• Hicksian (compensated) demand functions
  • C. Theory of the Consumer
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5b. Compensated Price Change (Calculus)
• Homogeneity
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1m. Returns to Scale and Homogeneity
• Imperfect competition
  • G. Imperfect Competition
    • G1. Monopoly
      • G1a. Monopoly: Definition and Origins
      • G1b. Marginal Revenue
      • G1c. Derivation of Marginal Revenue (Calculus)
      • G1d. Profit Maximization
      • G1e. Analysis of Profit Maximization (Calculus)
      • G1f. Market Power
      • G1g. Inefficiency
      • G1h. Analysis of Inefficiency (Calculus)
      • G1i. Regulating a Monopolist
      • G1j. Taxing and Subsidizing a Monopolist
      • G1k. Analysis of Taxes and Subsidies (Calculus)
    • G2. Price Discrimination
      • G2a. Price Discrimination: Definition and Types
      • G2b. First Degree Price Discrimination
      • G2c. Analysis of First Degree Price Discrimination (Calculus)
      • G2d. Second Degree Price Discrimination
      • G2e. Analysis of Second Degree Price Discrimination (Calculus)
      • G2f. Third Degree Price Discrimination
      • G2g. Analysis of Third Degree Price Discrimination (Calculus)
      • G2h. Two-Part Tariff Pricing
      • G2i. Analysis of First-Degree Price Discrimination with a Two-Part Tariff (Calculus)
      • G2j. Analysis of Second-Degree Price Discrimination with a Two-Part Tariff (Calculus)
      • G2k. Price Discrimination through Bundling
    • G3. Oligopoly
      • G3a. Oligopoly Definitions and Overview of Models (Calculus)
      • G3b. Cartel Model
      • G3c. Analysis of the Cartel Model (Calculus)
      • G3d. Cournot Duopoly Model (Calculus)
      • G3e. Cournot Duopoly Example (Calculus)
      • G3f. Cournot Model with N Firms (Calculus)
      • G3g. Stackelberg Model (Calculus)
      • G3h. Stackelberg with Entry Deterrence (Calculus)
      • G3i. Graphical Comparison of Models (Calculus)
      • G3j. Bertrand Price Competition
      • G3k. Direct and Inverse Demand Systems with Product Differentiation
      • G3l. Cournot Model with Product Differentiation (Calculus)
      • G3m. Bertrand Model with Product Differentiation (Calculus)
      • G3n. Comparing Cournot and Bertrand Solutions with Product Differentiation (Calculus)
• Incentive contracts
  • I. Asymmetric Information
    • I2. Moral Hazard
      • I2d. Incentive Contracts as a Solution to Moral Hazard (Calculus)
      • I2e. Optimal Contract with Moral Hazard and Risk Aversion (Calculus)
• Income effect
  • C. Theory of the Consumer
    • C6. The Slutsky Equation
      • C6a. Income and Substitution Effects
      • C6b. The Slutsky Equation
      • C6c. Proof of the Slutsky Equation (Calculus)
      • C6d. Applications of the Slutsky Decomposition
• Income elasticity
  • C. Theory of the Consumer
    • C3. Comparative Statics of Demand: Income Changes
      • C3c. Income Elasticity
      • C3d. Comparative Statics of Income Changes (Calculus)
• Income-consumption loci
  • C. Theory of the Consumer
    • C3. Comparative Statics of Demand: Income Changes
      • C3b. Income-Consumption Loci and Engel Curves
• Increasing returns to scale
  • A. Math Topics
    • A3. Scale Properties of Functions
      • A3a. Scale Properties of Functions
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1m. Returns to Scale and Homogeneity
• Indifference curves
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1g. Indifference Curves
      • C1h. Properties of Indifference Curves
      • C1i. Marginal Rate of Substitution (MRS)
      • C1j. Marginal Rate of Substitution (Calculus)
      • C1k. Common Types of Preferences
• Indifference curves, intertemporal
  • C. Theory of the Consumer
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9a. The Consumption-Savings Decision
• Indirect utility functions
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2c. Utility Maximization Subject to a Budget Constraint (Calculus)
      • C2d. Properties of Ordinary ("Marshallian") Demand Functions and Indirect Utility Functions
• Inefficiency (adverse selection)
  • I. Asymmetric Information
    • I1. Adverse Selection
      • I1a. Definition and Efficiency Consequences of Adverse Selection
• Inefficiency (externalities)
  • H. Externalities and Public Goods
    • H1. Externalities
      • H1b. Inefficiency in Markets with Externalities
• Inefficiency (monopoly)
  • G. Imperfect Competition
    • G1. Monopoly
      • G1g. Inefficiency
• Inefficiency (moral hazard)
  • I. Asymmetric Information
    • I2. Moral Hazard
      • I2a. Definition and Consequences of Moral Hazard
• Inefficiency (public goods)
  • H. Externalities and Public Goods
    • H2. Public Goods
      • H2a. Public Goods Definition and Efficient Provision
      • H2b. Analysis of Efficient Public Goods Provision (Calculus)
      • H2c. Analysis of Private Provision of Public Goods (Calculus)
• Interest rate
  • C. Theory of the Consumer
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9d. Interest Rates and the Level of Savings
      • C9e. Interest Rates and the Level of Borrowing
      • C9f. Interest Rate Spreads and the Consumption-Savings Decision
      • C9g. Interest Rates and Discounted Present Value
• Isocost lines
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2e. Long-Run Cost Minimization
• Isoquants
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1h. Isoquants
• Iterated dominance
  • F. Game Theory
    • F2. Static Games
      • F2f. Iterated Dominance
• Kinked budget constraints
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2j. Budget Constraints with Kinks
      • C2k. Utility Maximization with Kinked Budget Constraints
• Labor demand
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3k. Demand for Factors of Production
• Labor supply
  • C. Theory of the Consumer
    • C8. Supply of Labor: The Labor-Leisure Decision
      • C8b. Consumption-Leisure Budget Constraints and The Labor-Leisure Decision
      • C8c. Analysis of the Consumption-Leisure Decision (Calculus)
      • C8d. Comparative Statics of Labor Supply
      • C8e. Backward Bending Labor Supply Curves
• Labor-leisure decision
  • C. Theory of the Consumer
    • C8. Supply of Labor: The Labor-Leisure Decision
      • C8a. Consumption-Leisure Indifference Curves
      • C8b. Consumption-Leisure Budget Constraints and The Labor-Leisure Decision
      • C8c. Analysis of the Consumption-Leisure Decision (Calculus)
• Lagrangians, method of
  • A. Math Topics
    • A4. Solving Optimization Problems
      • A4d. Lagrangians (Calculus)
• Leontief preferences (perfect complements)
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2g. Demand Functions for Perfect Complements
• Leontief production function
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1a. Firms as Production Technologies
• Lerner Index
  • G. Imperfect Competition
    • G1. Monopoly
      • G1f. Market Power
• Level curves
  • A. Math Topics
    • A2. Level Curves
      • A2a. Level Curves of a Function
      • A2b. Slopes of Level Curves
• Lindahl prices
  • H. Externalities and Public Goods
    • H2. Public Goods
      • H2d. Analysis of Public Good Provision via Benefit Taxation (Calculus)
• Linear preferences
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2h. Demand Functions for Perfect Substitutes
• Linear production function
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1a. Firms as Production Technologies
• Long run cost curve
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2h. Long-Run vs. Short-Run Costs
• Long run cost function
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2e. Long-Run Cost Minimization
      • D2f. Long-Run Cost Minimization in Standard Cases
      • D2g. The Lagrangian Approach to Long-Run Cost Minimization (Calculus)
      • D2h. Long-Run vs. Short-Run Costs
• Long run cost minimization
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2e. Long-Run Cost Minimization
      • D2f. Long-Run Cost Minimization in Standard Cases
      • D2g. The Lagrangian Approach to Long-Run Cost Minimization (Calculus)
      • D2k. Examples of Cost Function Calculations (Calculus)
• Long run equilibrium
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1b. Short-Run vs. Long-Run Equilibrium
• Long run expansion path
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2e. Long-Run Cost Minimization
• Long run supply
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3a. The Notion of Supply and the Supply Curve
      • D3f. Supply Curve
      • D3h. Long-Run Supply: Numerical Example
      • D3j. Caveats for Long-Run Supply
• Marginal cost
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2i. Marginal and Average Cost
      • D2j. Formal Definition of Marginal Cost (Calculus)
• Marginal product
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1d. Marginal Product
      • D1f. Formal Definition of Marginal Product and Examples (Calculus)
• Marginal product, diminishing
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1e. Properties of Marginal and Average Product
      • D1f. Formal Definition of Marginal Product and Examples (Calculus)
• Marginal rate of substitution (MRS)
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1i. Marginal Rate of Substitution (MRS)
      • C1j. Marginal Rate of Substitution (Calculus)
• Marginal rate of substitution, diminishing
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1i. Marginal Rate of Substitution (MRS)
      • C1j. Marginal Rate of Substitution (Calculus)
• Marginal rate of technical substitution
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1i. Marginal Rate of Technical Substitution
      • D1j. Formal Definition of Marginal Rate of Technical Substitution (Calculus)
      • D1k. Examples of Marginal Rate of Technical Substitution (Calculus)
• Marginal revenue
  • G. Imperfect Competition
    • G1. Monopoly
      • G1b. Marginal Revenue
      • G1c. Derivation of Marginal Revenue (Calculus)
• Marginal revenue product
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3k. Demand for Factors of Production
• Marginal utility
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1e. Marginal Utility (MU)
      • C1f. Marginal Utility (Calculus)
• Marginal utility, diminishing
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1e. Marginal Utility (MU)
      • C1f. Marginal Utility (Calculus)
• Market distortions
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1h. Taxes as Market Distortions
      • E1i. Market Distortions Not Involving Taxes
      • E1j. Taxes: Numerical Example
• Market equilibrium
  • B. Basics
    • B3. Supply, Demand and Markets
      • B3a. Supply, Demand and Markets
• Market power
  • G. Imperfect Competition
    • G1. Monopoly
      • G1f. Market Power
• Market supply curve
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3i. Market Supply Curve
• Markets
  • B. Basics
    • B3. Supply, Demand and Markets
      • B3a. Supply, Demand and Markets
• Marshallian (ordinary) demand functions
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2b. Utility Maximization Subject to a Budget Constraint
      • C2c. Utility Maximization Subject to a Budget Constraint (Calculus)
      • C2d. Properties of Ordinary ("Marshallian") Demand Functions and Indirect Utility Functions
• Math topics
  • A. Math Topics
    • A1. Elasticity
      • A1a. Elasticity
    • A2. Level Curves
      • A2a. Level Curves of a Function
      • A2b. Slopes of Level Curves
    • A3. Scale Properties of Functions
      • A3a. Scale Properties of Functions
      • A3b. Scale Properties of Functions (Calculus Applications)
    • A4. Solving Optimization Problems
      • A4a. General Structure of Optimization Problems
      • A4b. Unconstrained Optimization
      • A4c. Constrained Optimization
      • A4d. Lagrangians (Calculus)
      • A4e. Corner Solutions
    • A5. Comparative Statics
      • A5a. Comparative Statics of Solution Functions (Calculus)
      • A5b. Comparative Statics of Optimal Values: The Envelope Theorem (Calculus)
      • A5c. Comparative Statics of a Market Equilibrium
• Mergers (externalities)
  • H. Externalities and Public Goods
    • H1. Externalities
      • H1d. Solving Externalities through Mergers (Calculus)
• Mixed strategy
  • F. Game Theory
    • F1. Representing Games
      • F1g. Beliefs, Mixed Strategies, and Expected Payoffs
    • F2. Static Games
      • F2i. Mixed Strategy Nash Equilibrium
• Monitoring
  • I. Asymmetric Information
    • I2. Moral Hazard
      • I2c. Monitoring as a Solution to Moral Hazard
• Monopoly
  • G. Imperfect Competition
    • G1. Monopoly
      • G1a. Monopoly: Definition and Origins
      • G1d. Profit Maximization
      • G1e. Analysis of Profit Maximization (Calculus)
      • G1f. Market Power
      • G1g. Inefficiency
      • G1h. Analysis of Inefficiency (Calculus)
      • G1i. Regulating a Monopolist
      • G1j. Taxing and Subsidizing a Monopolist
      • G1k. Analysis of Taxes and Subsidies (Calculus)
• Monotonic preferences
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1b. Preferences and Properties of Preference Rankings
      • C1h. Properties of Indifference Curves
• Monotonic transformations of utility
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1d. Monotonic Transformations of Utility
• Moral hazard
  • I. Asymmetric Information
    • I2. Moral Hazard
      • I2a. Definition and Consequences of Moral Hazard
      • I2c. Monitoring as a Solution to Moral Hazard
      • I2d. Incentive Contracts as a Solution to Moral Hazard (Calculus)
      • I2e. Optimal Contract with Moral Hazard and Risk Aversion (Calculus)
• Nash equilibrium
  • F. Game Theory
    • F2. Static Games
      • F2g. Nash Equilibrium
      • F2h. Dominance and Nash Equilibrium in Some Classic Normal-Form Games
      • F2i. Mixed Strategy Nash Equilibrium
• Natural monopoly
  • G. Imperfect Competition
    • G1. Monopoly
      • G1a. Monopoly: Definition and Origins
• Normal form games
  • F. Game Theory
    • F1. Representing Games
      • F1b. Normal-Form Representation
      • F1c. Extensive-Form Representation
• Oligopoly
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3a. Oligopoly Definitions and Overview of Models (Calculus)
      • G3b. Cartel Model
      • G3c. Analysis of the Cartel Model (Calculus)
      • G3d. Cournot Duopoly Model (Calculus)
      • G3e. Cournot Duopoly Example (Calculus)
      • G3f. Cournot Model with N Firms (Calculus)
      • G3g. Stackelberg Model (Calculus)
      • G3h. Stackelberg with Entry Deterrence (Calculus)
      • G3i. Graphical Comparison of Models (Calculus)
      • G3j. Bertrand Price Competition
      • G3k. Direct and Inverse Demand Systems with Product Differentiation
      • G3l. Cournot Model with Product Differentiation (Calculus)
      • G3m. Bertrand Model with Product Differentiation (Calculus)
      • G3n. Comparing Cournot and Bertrand Solutions with Product Differentiation (Calculus)
• Oligopoly, Bertrand
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3j. Bertrand Price Competition
• Oligopoly, cartel
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3b. Cartel Model
      • G3c. Analysis of the Cartel Model (Calculus)
• Oligopoly, Cournot
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3d. Cournot Duopoly Model (Calculus)
      • G3e. Cournot Duopoly Example (Calculus)
      • G3f. Cournot Model with N Firms (Calculus)
• Oligopoly, product differentiation
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3k. Direct and Inverse Demand Systems with Product Differentiation
      • G3l. Cournot Model with Product Differentiation (Calculus)
      • G3m. Bertrand Model with Product Differentiation (Calculus)
      • G3n. Comparing Cournot and Bertrand Solutions with Product Differentiation (Calculus)
• Oligopoly, Stackelberg
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3g. Stackelberg Model (Calculus)
      • G3h. Stackelberg with Entry Deterrence (Calculus)
• Optimal value functions
  • A. Math Topics
    • A4. Solving Optimization Problems
      • A4a. General Structure of Optimization Problems
    • A5. Comparative Statics
      • A5b. Comparative Statics of Optimal Values: The Envelope Theorem (Calculus)
• Optimization problems, general structure
  • A. Math Topics
    • A4. Solving Optimization Problems
      • A4a. General Structure of Optimization Problems
• Optimization, constrained
  • A. Math Topics
    • A4. Solving Optimization Problems
      • A4c. Constrained Optimization
      • A4d. Lagrangians (Calculus)
      • A4e. Corner Solutions
• Optimization, unconstrained
  • A. Math Topics
    • A4. Solving Optimization Problems
      • A4b. Unconstrained Optimization
• Ordinal utility
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1c. Utility Functions
• Ordinary (Marshallian) demand functions
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2b. Utility Maximization Subject to a Budget Constraint
      • C2c. Utility Maximization Subject to a Budget Constraint (Calculus)
      • C2d. Properties of Ordinary ("Marshallian") Demand Functions and Indirect Utility Functions
• Ordinary demand curve
  • C. Theory of the Consumer
    • C4. Comparative Statics of Demand: Price Changes
      • C4b. Price-Consumption Loci and Ordinary Demand Curves
• Own-price elasticity
  • C. Theory of the Consumer
    • C4. Comparative Statics of Demand: Price Changes
      • C4c. Own Price Elasticity
• Pareto efficiency
  • E. Equilibrium in Competitive Markets
    • E2. General Equilibrium and Welfare Analysis
      • E2d. Pareto Efficiency
• Partial equilibrium
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1a. The Notion of Partial Equilibrium — A Single Market
• Partial insurance
  • C. Theory of the Consumer
    • C10. Decision Making Under Uncertainty
      • C10d. Demand for Insurance
• Perfect complements (commodities)
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2g. Demand Functions for Perfect Complements
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5d. Compensated Price Changes: The Case of Perfect Complements
• Perfect complements (inputs)
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1a. Firms as Production Technologies
• Perfect substitutes (commodities)
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Perfect substitutes (inputs)
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1a. Firms as Production Technologies
• Perfect substitutes, compensated demand functions
  • C. Theory of the Consumer
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5e. Compensated Price Changes: The Case of Perfect Substitutes
• Perfect substitutes, demand functions
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2h. Demand Functions for Perfect Substitutes
• Pooling equilibrium
  • I. Asymmetric Information
    • I1. Adverse Selection
      • I1c. Signaling as a Solution to Adverse Selection
• Portfolio, optimal
  • C. Theory of the Consumer
    • C10. Decision Making Under Uncertainty
      • C10e. Demand for Risky Assets (Calculus)
• Preference, CES
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Preference, Cobb-Douglas
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Preferences, Leontief (perfect complements)
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Preferences, linear (perfect substitutes)
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Preferences, quasilinear
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Preferences/preference ranking
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1b. Preferences and Properties of Preference Rankings
• Present value, discounted
  • C. Theory of the Consumer
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9g. Interest Rates and Discounted Present Value
• Price ceiling
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1i. Market Distortions Not Involving Taxes
• Price discrimination
  • G. Imperfect Competition
    • G2. Price Discrimination
      • G2a. Price Discrimination: Definition and Types
      • G2b. First Degree Price Discrimination
      • G2c. Analysis of First Degree Price Discrimination (Calculus)
      • G2d. Second Degree Price Discrimination
      • G2e. Analysis of Second Degree Price Discrimination (Calculus)
      • G2f. Third Degree Price Discrimination
      • G2g. Analysis of Third Degree Price Discrimination (Calculus)
      • G2i. Analysis of First-Degree Price Discrimination with a Two-Part Tariff (Calculus)
      • G2j. Analysis of Second-Degree Price Discrimination with a Two-Part Tariff (Calculus)
      • G2k. Price Discrimination through Bundling
• Price floor
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1i. Market Distortions Not Involving Taxes
• Price-consumption locus
  • C. Theory of the Consumer
    • C4. Comparative Statics of Demand: Price Changes
      • C4b. Price-Consumption Loci and Ordinary Demand Curves
• Principal-agent problem
  • I. Asymmetric Information
    • I2. Moral Hazard
      • I2a. Definition and Consequences of Moral Hazard
      • I2b. The General Principal-Agent Problem (Calculus)
• Prisoners' Dilemma
  • F. Game Theory
    • F2. Static Games
      • F2h. Dominance and Nash Equilibrium in Some Classic Normal-Form Games
• Producer surplus
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1f. Welfare in Partial Equilibrium
      • E1g. Competitive Equilibrium and Efficiency
• Producer Theory/Theory of the Firm
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1a. Firms as Production Technologies
      • D1b. Total Product
      • D1c. Average Product
      • D1d. Marginal Product
      • D1e. Properties of Marginal and Average Product
      • D1f. Formal Definition of Marginal Product and Examples (Calculus)
      • D1g. A Note on Timing and Inputs
      • D1h. Isoquants
      • D1i. Marginal Rate of Technical Substitution
      • D1j. Formal Definition of Marginal Rate of Technical Substitution (Calculus)
      • D1k. Examples of Marginal Rate of Technical Substitution (Calculus)
      • D1l. Sufficient Conditions for Diminishing Marginal Rate of Technical Substitution (Calculus)
      • D1m. Returns to Scale and Homogeneity
• Product differentiation, oligopoly
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3k. Direct and Inverse Demand Systems with Product Differentiation
      • G3l. Cournot Model with Product Differentiation (Calculus)
      • G3m. Bertrand Model with Product Differentiation (Calculus)
      • G3n. Comparing Cournot and Bertrand Solutions with Product Differentiation (Calculus)
• Production function
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1a. Firms as Production Technologies
• Profit maximization
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3a. The Notion of Supply and the Supply Curve
      • D3b. Marginal Conditions for Profit-Maximizing Output Choices
      • D3c. First- and Second-Order Conditions for Supply (Calculus)
      • D3d. Effect on Profit of a Price Change (Calculus)
• Profit maximization (monopoly)
  • G. Imperfect Competition
    • G1. Monopoly
      • G1d. Profit Maximization
      • G1e. Analysis of Profit Maximization (Calculus)
• Profit maximization, comparative statics
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3d. Effect on Profit of a Price Change (Calculus)
• Property rights
  • H. Externalities and Public Goods
    • H1. Externalities
      • H1e. Solving Externalities by Establishing Property Rights
• Public goods
  • H. Externalities and Public Goods
    • H2. Public Goods
      • H2a. Public Goods Definition and Efficient Provision
      • H2b. Analysis of Efficient Public Goods Provision (Calculus)
      • H2c. Analysis of Private Provision of Public Goods (Calculus)
      • H2d. Analysis of Public Good Provision via Benefit Taxation (Calculus)
      • H2e. Analysis of Public Good Provision via Political Competition (Calculus)
• Quasi-linear preferences/utility function
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Repeated games
  • F. Game Theory
    • F3. Sequential Games
      • F3d. Technical Notes on Backward Induction, SPNE, and Continuation Value
      • F3h. Infinitely Repeated Games - Rudimentary Analysis
• Returns to scale
  • A. Math Topics
    • A3. Scale Properties of Functions
      • A3a. Scale Properties of Functions
      • A3b. Scale Properties of Functions (Calculus Applications)
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1m. Returns to Scale and Homogeneity
• Risk aversion/risk loving/risk neutrality
  • C. Theory of the Consumer
    • C10. Decision Making Under Uncertainty
      • C10c. Risk Aversion
      • C10f. Measures of Risk Aversion (Calculus)
• Risk/return tradeoff
  • C. Theory of the Consumer
    • C10. Decision Making Under Uncertainty
      • C10e. Demand for Risky Assets (Calculus)
• Risky assets, demand
  • C. Theory of the Consumer
    • C10. Decision Making Under Uncertainty
      • C10e. Demand for Risky Assets (Calculus)
• Savings decision
  • C. Theory of the Consumer
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9a. The Consumption-Savings Decision
      • C9b. Analysis of the Consumption-Savings Decision (Calculus)
      • C9c. Comparative Statics of the Consumption-Savings Decision
      • C9d. Interest Rates and the Level of Savings
      • C9e. Interest Rates and the Level of Borrowing
      • C9f. Interest Rate Spreads and the Consumption-Savings Decision
• Scale invariance
  • A. Math Topics
    • A3. Scale Properties of Functions
      • A3a. Scale Properties of Functions
      • A3b. Scale Properties of Functions (Calculus Applications)
• Scale properties of functions
  • A. Math Topics
    • A3. Scale Properties of Functions
      • A3a. Scale Properties of Functions
      • A3b. Scale Properties of Functions (Calculus Applications)
• Scale, economies of
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2i. Marginal and Average Cost
• Screening
  • I. Asymmetric Information
    • I1. Adverse Selection
      • I1c. Signaling as a Solution to Adverse Selection
• Second degree price discrimination
  • G. Imperfect Competition
    • G2. Price Discrimination
      • G2d. Second Degree Price Discrimination
      • G2e. Analysis of Second Degree Price Discrimination (Calculus)
      • G2j. Analysis of Second-Degree Price Discrimination with a Two-Part Tariff (Calculus)
• Second order conditions (profit maximization)
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3c. First- and Second-Order Conditions for Supply (Calculus)
• Second Welfare Theorem
  • E. Equilibrium in Competitive Markets
    • E2. General Equilibrium and Welfare Analysis
      • E2k. The Second Welfare Theorem
• Separating equilibrium
  • I. Asymmetric Information
    • I1. Adverse Selection
      • I1c. Signaling as a Solution to Adverse Selection
• Sequential games
  • F. Game Theory
    • F3. Sequential Games
      • F3a. Sequential Rationality and Incredible Threats
      • F3b. Backward Induction and Continuation Value
      • F3c. Subgame-Perfect Nash Equilibrium
      • F3e. First-Mover Advantage/Disadvantage
• Sequential rationality
  • F. Game Theory
    • F3. Sequential Games
      • F3a. Sequential Rationality and Incredible Threats
• Short run cost function
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2d. Short-Run Cost Functions: Examples
      • D2h. Long-Run vs. Short-Run Costs
      • D2k. Examples of Cost Function Calculations (Calculus)
• Short run equilibrium
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1b. Short-Run vs. Long-Run Equilibrium
      • E1c. Aggregate Supply and Equilibrium: Numerical Example - Short Run
• Short run fixed cost
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2c. Short-Run Cost
• Short run supply
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3a. The Notion of Supply and the Supply Curve
      • D3f. Supply Curve
      • D3g. Short-Run Supply: Numerical Example
• Short run variable cost
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2c. Short-Run Cost
• Shutdown decision
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3e. Shut-Down and Exit Decisions
• Signaling
  • I. Asymmetric Information
    • I1. Adverse Selection
      • I1c. Signaling as a Solution to Adverse Selection
• Slopes of level curves
  • A. Math Topics
    • A2. Level Curves
      • A2b. Slopes of Level Curves
• Slutsky equation
  • C. Theory of the Consumer
    • C6. The Slutsky Equation
      • C6a. Income and Substitution Effects
      • C6b. The Slutsky Equation
      • C6c. Proof of the Slutsky Equation (Calculus)
      • C6d. Applications of the Slutsky Decomposition
• Solution functions
  • A. Math Topics
    • A4. Solving Optimization Problems
      • A4a. General Structure of Optimization Problems
    • A5. Comparative Statics
      • A5a. Comparative Statics of Solution Functions (Calculus)
• St. Petersburg Paradox
  • C. Theory of the Consumer
    • C10. Decision Making Under Uncertainty
      • C10a. Expected Value and the St. Petersburg Paradox
      • C10b. Expected Utility
• Stackelberg oligopoly
  • G. Imperfect Competition
    • G3. Oligopoly
      • G3g. Stackelberg Model (Calculus)
      • G3h. Stackelberg with Entry Deterrence (Calculus)
• Stocks versus flows
  • B. Basics
    • B2. Stocks, Flows and the Dimensions of Economic Activity
      • B2a. Stocks, Flows and the Dimensions of Economic Activity
• Strategy
  • F. Game Theory
    • F1. Representing Games
      • F1d. The Formal Definition of a Strategy and Game Forms
      • F1e. Information Sets and the Strategy Definition
• Strategy, mixed
  • F. Game Theory
    • F1. Representing Games
      • F1g. Beliefs, Mixed Strategies, and Expected Payoffs
• Strict preference
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1b. Preferences and Properties of Preference Rankings
• Subgame perfect Nash equilibrium
  • F. Game Theory
    • F3. Sequential Games
      • F3b. Backward Induction and Continuation Value
      • F3c. Subgame-Perfect Nash Equilibrium
• Subsidies
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1i. Market Distortions Not Involving Taxes
  • G. Imperfect Competition
    • G1. Monopoly
      • G1j. Taxing and Subsidizing a Monopolist
      • G1k. Analysis of Taxes and Subsidies (Calculus)
• Substitution effect
  • C. Theory of the Consumer
    • C6. The Slutsky Equation
      • C6a. Income and Substitution Effects
      • C6b. The Slutsky Equation
      • C6c. Proof of the Slutsky Equation (Calculus)
      • C6d. Applications of the Slutsky Decomposition
• Supply function
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3a. The Notion of Supply and the Supply Curve
      • D3g. Short-Run Supply: Numerical Example
      • D3h. Long-Run Supply: Numerical Example
• Supply of labor
  • C. Theory of the Consumer
    • C8. Supply of Labor: The Labor-Leisure Decision
      • C8b. Consumption-Leisure Budget Constraints and The Labor-Leisure Decision
      • C8c. Analysis of the Consumption-Leisure Decision (Calculus)
      • C8d. Comparative Statics of Labor Supply
      • C8e. Backward Bending Labor Supply Curves
• Supply schedules
  • B. Basics
    • B3. Supply, Demand and Markets
      • B3a. Supply, Demand and Markets
• Supply, long run
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3a. The Notion of Supply and the Supply Curve
      • D3f. Supply Curve
      • D3h. Long-Run Supply: Numerical Example
      • D3j. Caveats for Long-Run Supply
• Supply, market
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3i. Market Supply Curve
• Supply, short run
  • D. Theory of the Firm
    • D3. Optimal Supply in Competitive Markets
      • D3a. The Notion of Supply and the Supply Curve
      • D3f. Supply Curve
      • D3g. Short-Run Supply: Numerical Example
• Tangency condition (for cost minimization)
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2e. Long-Run Cost Minimization
• Tangency condition (for expenditure minimization)
  • C. Theory of the Consumer
    • C5. Compensated Price Changes, Compensated (“Hicksian”) Demand Curves and Demand Functions
      • C5a. Compensated Price Changes
• Tangency condition (for general constrained optimization problems)
  • A. Math Topics
    • A4. Solving Optimization Problems
      • A4c. Constrained Optimization
• Tangency condition (for utility maximization)
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2b. Utility Maximization Subject to a Budget Constraint
• Tattoo, Mark's
  • C. Theory of the Consumer
    • C6. The Slutsky Equation
      • C6b. The Slutsky Equation
• Tax, ad valorem (proportional)
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1h. Taxes as Market Distortions
      • E1j. Taxes: Numerical Example
• Tax, specific (per unit)
  • E. Equilibrium in Competitive Markets
    • E1. Competitive Equilibrium in a Market
      • E1h. Taxes as Market Distortions
      • E1j. Taxes: Numerical Example
• Taxes (monopoly)
  • G. Imperfect Competition
    • G1. Monopoly
      • G1j. Taxing and Subsidizing a Monopolist
      • G1k. Analysis of Taxes and Subsidies (Calculus)
• Taxes (public goods)
  • H. Externalities and Public Goods
    • H2. Public Goods
      • H2d. Analysis of Public Good Provision via Benefit Taxation (Calculus)
      • H2e. Analysis of Public Good Provision via Political Competition (Calculus)
• Third degree price discrimination
  • G. Imperfect Competition
    • G2. Price Discrimination
      • G2f. Third Degree Price Discrimination
      • G2g. Analysis of Third Degree Price Discrimination (Calculus)
• Total product
  • D. Theory of the Firm
    • D1. Theory of Production
      • D1b. Total Product
• Transitivity
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1b. Preferences and Properties of Preference Rankings
      • C1h. Properties of Indifference Curves
• Two-part tariff
  • G. Imperfect Competition
    • G2. Price Discrimination
      • G2h. Two-Part Tariff Pricing
      • G2i. Analysis of First-Degree Price Discrimination with a Two-Part Tariff (Calculus)
      • G2j. Analysis of Second-Degree Price Discrimination with a Two-Part Tariff (Calculus)
• Unconstrained optimization
  • A. Math Topics
    • A4. Solving Optimization Problems
      • A4a. General Structure of Optimization Problems
      • A4b. Unconstrained Optimization
• Utility function
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1c. Utility Functions
      • C1d. Monotonic Transformations of Utility
• Utility function, CES
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Utility function, Cobb-Douglas
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Utility function, intertemporal
  • C. Theory of the Consumer
    • C9. Supply of Saving: The Consumption-Savings Decision
      • C9a. The Consumption-Savings Decision
• Utility function, Leontief (perfect complements)
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Utility function, risk averse/risk loving/risk neutral
  • C. Theory of the Consumer
    • C10. Decision Making Under Uncertainty
      • C10c. Risk Aversion
• Utility functions, linear (perfect substitutes)
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Utility functions, quasilinear
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1k. Common Types of Preferences
• Utility maximization
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2b. Utility Maximization Subject to a Budget Constraint
      • C2c. Utility Maximization Subject to a Budget Constraint (Calculus)
      • C2k. Utility Maximization with Kinked Budget Constraints
• Utility, marginal
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1e. Marginal Utility (MU)
      • C1f. Marginal Utility (Calculus)
      • C1i. Marginal Rate of Substitution (MRS)
      • C1j. Marginal Rate of Substitution (Calculus)
• Variable cost, short run
  • D. Theory of the Firm
    • D2. Cost Minimization and Cost Functions
      • D2c. Short-Run Cost
• Variation, compensating and equivalent
  • C. Theory of the Consumer
    • C7. Consumer Surplus, Equivalent and Compensating Variation
      • C7a. Equivalent and Compensating Variation
• Wage changes
  • C. Theory of the Consumer
    • C8. Supply of Labor: The Labor-Leisure Decision
      • C8d. Comparative Statics of Labor Supply
      • C8e. Backward Bending Labor Supply Curves
• Walras' Law
  • C. Theory of the Consumer
    • C2. Utility Maximization Subject to a Budget Constraint
      • C2d. Properties of Ordinary ("Marshallian") Demand Functions and Indirect Utility Functions
• Weak preference
  • C. Theory of the Consumer
    • C1. Preferences, Utility Functions and Indifference Curves
      • C1b. Preferences and Properties of Preference Rankings
• Welfare Theorem, First
  • E. Equilibrium in Competitive Markets
    • E2. General Equilibrium and Welfare Analysis
      • E2j. The First Welfare Theorem
      • E2l. Edgeworth Box with Two Firms
• Welfare Theorem, Second
  • E. Equilibrium in Competitive Markets
    • E2. General Equilibrium and Welfare Analysis
      • E2k. The Second Welfare Theorem