A little information about Macro Economics.

Economic surplus: the make headway of taking an action minus its costs.

Opportunity cost: the value of the next-best alternative that must(prenominal) be foregone in order to undertake an use

Sunk cost: a cost that is beyond recovery at the moment a decision must be made.

Average benefit: the total benefit of undertake an activity divided by the units of the activity.

Average cost: the total cost of undertaking an activity divided by the units of the activity.

Marginal benefit: the plain benefit from undertaking one more unit of an activity.

Marginal cost: the extra cost from undertaking one more unit of an activity.

Absolute avail: one person has an absolute service over another(prenominal) if he or she takes fewer hours to set a labor movement than the other person.

Absolute advantage: one person has an absolute advantage over another if he or she takes fewer hours to perform a task than the other person.

The Principle of Comparative reward: Everyone does best when each person (or each country) concentrates on the activities for which his or her opportunity cost is lowest.

Production possibilities curve: a graph that describes the maximum amount of one best that can be produced for either possible level of production of the other good.

Attainable point: every combination of goods that can be produced using before long acquirable resources.

Unattainable point: every combination of goods that cannot be produced using currently usable resources.

Inefficient point: any combination of goods for which currently available resources enable an increase in the production of one good without a reduction in the production of the other.

Efficient point: any combination of goods for which currently available resources do not spare an increase in the production of one good without a reduction in the production of the other.

Standard of living: the degree...

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