TAILIEUCHUNG - Lecture Principles of microeconomics - Chapter 10: Externalities

Lecture Principles of microeconomics - Chapter 10: Externalities. In this chapter you will: Learn the nature of an externality, see why externalities can make market outcomes inefficient, examine how people can sometimes solve the problem of externalities on their own,. | Externalities Chapter 10 Copyright © 2001 by Harcourt, Inc. All rights reserved. Requests for permission to make copies of any part of the work should be mailed to: Permissions Department, Harcourt College Publishers, 6277 Sea Harbor Drive, Orlando, Florida 32887-6777. Market Failures: Externalities When a market outcome affects parties other than the buyers and sellers in the market, side-effects are created called externalities. Externalities cause markets to be inefficient, and thus fail to maximize total surplus. An externality arises. . . . when a person engages in an activity that influences the well-being of a bystander and yet neither pays nor receives any compensation for that effect. Market Failures: Externalities When the impact on the bystander is adverse, the externality is called a negative externality. When the impact on the bystander is beneficial, the externality is called a positive externality. Automobile exhaust Cigarette smoking Barking dogs (loud pets) Loud

• Kinh tế học
• Principles of microeconomics
• Lecture Principles of microeconomics
• Market failures
• Negative externalities
• Positive externalities
• Market inefficiency
• Ten principles of economics
• Scarce resources
• Scarcity implies choice
• Choice implies cost
• Thinking like an economist
• Economic models
• Circular flow diagram
• Production possibilities frontier
• The gains from trade
• Production possibilities
• Comparative advantage
• Absolute advantage
• Market forces
• Supply and demand
• Market economies
• Competitive markets
• Price elasticity of demand
• Price elasticity
• Midpoint method
• Demand curves
• Controls on prices
• Price ceiling
• Price floor
• Market outcomes
• Public goods
• Common resources
• Types of goods
• Cost benefit analysis
• Tax system
• Federal government
• Marginal tax rate
• Budget surplus
• Costs of production
• Total revenue
• Total cost
• Opportunity costs
• Firms in competitive markets
• Average revenue
• Marginal revenue
• Sunk costs
• Monopoly resources
• Government created monopolies
• Natural monopolies
• Monopoly’s revenue
• Monopolistic competition
• Nash equilibrium
• Equilibrium for oligopoly
• Game theory
• Long run equilibrium
• Perfect competition
• Production possibility frontier
• Opportunity cost
• Rational people
• Indirect effects
• Law of demand
• Factors change demand
• Law of supply
• Market demand
• Demand intersect
• Demand determine prices
• Change in demand
• Change in supply
• Elastic demand curve
• Policy analysis with supply
• Policy analysis with demand
• Wealth creation
• Production cost
• Total surplus
• International trade
• Additional benefits of trade
• Average costs
• Break even price
• Increasing marginal costs
• Long run analysis
• Firms profit graphically
• Accounting profit
• Market effectiveness
• Monopolist pricing
• Price discrimination
• Antitrust laws
• Disruptive innovation in oligopolies
• Predatory pricing