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The father of a child diagnosed with schizophrenia says, "I lost my job, so we have no health insurance." The mother says, "I must watch this child all the time. Without supervision, our child becomes violent and destructive." A sibling says, "My parents don't pay attention to me." These comments signify:
Marginal Product
The increase in output that results from employing one more unit of a particular input, holding all other inputs constant.
Explicit Costs
Direct, out-of-pocket expenses paid by firms for inputs to production, such as wages, rent, and materials, as opposed to implicit costs which are not directly paid out in cash.
Implicit Costs
The opportunity costs that are not directly paid for or incurred during the production of a good or service.
Average Total Cost
The complete expenditure of manufacturing (incorporating steady and fluctuating expenses) divided by the aggregate volume of goods produced.
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