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_______ Are Internal to a Firm; _______ Are External Factors

question 14

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_______ are internal to a firm; _______ are external factors.


Definitions:

Producer Surplus

The difference between what producers are willing to accept for a good or service and the actual price they receive, reflecting the benefit to producers from higher prices.

Consumer Surplus

The gap between what consumers are prepared to spend on a product or service and the actual amount they end up paying.

Maximum Willingness

The highest amount an individual is prepared to pay for a good or service, reflecting their subjective valuation of its utility.

Output

The total amount of goods and services produced by an economic system or by a firm.

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