Externalities and Efficiency
Final Exam
About 40% old and 60% new
Old multiple choice questions will be taken
from previous exams (with modifications!)
More short answers based on “basic”
economic knowledge.
Monopolist cost/revenue table (Number 2
on last assignment).
Calculate HHI, Game Theory
Graph Supply and Demand.
Final Exam, Old Material
You will definitely need to review:
Basic Economic Decision Rule (MB and MC)
Opportunity cost
Comparative advantage
Supply and demand
Consumer and producer surplus
The formula for price elasticity
and …
Final Exam, Old Material
Utility maximizing condition
Marginal productivity and marginal costs
Profit-maximizing condition
The graph of perfectly competitive firms
Entry and exit in the long run (the invisible
hand)
See you Thursday!
Use the study guide, your notes, old
exams, quizzes, the assignment, the
book and each other…
STUDY HARD AND YOU WILL DO
WELL!