Identify the Following Terms

question 98

Short Answer

Identify the following terms.
-Lao Tzu

Interpret cost curves, including their shapes, shifts, and the relationships among them in both short and long runs.

Calculate economic cost, including opportunity costs and sunk costs, in decision making.

Understand the impact of changes in production capacity on cost curves and firm's costs.

Apply the concept of user cost of capital and its components in the analysis of capital costs.

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Definitions:

Negative Punishment

A behavioral strategy involving the removal of a desirable stimulus following an undesirable behavior to decrease the likelihood of the behavior's recurrence.

Positive Punishment

A behavior modification technique that involves the addition of an unpleasant stimulus to decrease the likelihood of a behavior reoccurring.

Negative Reinforcement

A process in behavior modification by which the likelihood of a behavioral response increases by the removal of an unpleasant stimulus.

Positive Reinforcement

A process in psychology which increases the likelihood of a behavior by following it with a desirable outcome or reward.