Determining the Shutdown Point of a Firm This continues a previous post on profit maximization. The question we want to continue with is when should
Author: discusseconomics
Microeconomics Cost Formulas
Here is a list of some of basic microeconomics formulas pertaining to revenues and costs of a firm. Remember when you’re using these formulas there
Trade Offs and Indifference Curves
Before we talk about choices, preferences, trade-offs and indifference curves, we should briefly look over some key terms. We assume people are rational decisions makers
Where Do Banks Get Their Money? Fractional Reserve Banking
Do Banks Create New Money out of Thin Air? **Re-posted after the events of the credit crunch and 700 bailout packages, enjoy the read and
Shapes of Indifference Curves
The shapes of indifference curves are smooth with unique tangent at any bundle we have well define marginal rate of substitution (MRS). MRS is undefined
News Flash – Canadians Don’t Use RRSP Room
Canadians are expected to contribute a record $38.6 billion towards their RRSPs in 2014 but this number is minuscule compared to the $951 billion in