Supply Vocabulary

This is the change in the amount offered for sale in response to a change in price.

• Law of Supply

• Supply elasticity

• Change in quantity supplied

At what level of production does marginal cost and marginal revenue equal?

• Break-even point

• Diminishing returns

• Profit-maximizing quantity of output

What is it when price and quantity supplied are directly related to each other?

• Diminishing returns

• Fixed Cost

• Law of Supply

This shows how total output changes when the amount of a single variable input changes while all other inputs are held constant.

• Production function

• Diminishing returns

• Supply curve

What is a graph that shows the various quantities a single firm might supply at all possible prices in the market?

• Law of Supply

• Supply curve

• Supply

What is the EXTRA revenue from the sale of one additional unit of production/output?

• Total revenue

• Marginal revenue

• Marginal product

What is the measure of the degree to which the quantity supplied responds to a change in price?

• Change in supply

• Break-even point

• Supply elasticity

What is the government payment to an individual, business, or other group to encourage or protect a certain type of economic activity?

• Subsidy

• Marginal cost

• Marginal revenue

What is the extra output or change in total product caused by adding one more unit of input?

• Variable cost

• Marginal product

• Marginal cost

What is all the revenue that a business receives?

• Marginal revenue

• Total revenue

• Profit-maximizing quantity of output