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Results tagged with microeconomics
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user 10836
Microeconomics is a branch of economics that studies the market behavior of individual actors (usually firms and consumers) and the aggregation of their actions in different institutional frameworks (usually the market).
4
votes
What are FOCs and SOCs?
The target is to find a local maximum (or minimum) of a function.
If the function is differentiable twice:
The first derivative test will tell you if it's an local extremum.
The second derivative t …
- 269
3
votes
2
answers
666
views
Do the three ways of measuring producer’s surplus give the same result?
In the Firm supply chapter of the microeconomics Varian's book, they show "three equivalent ways to measure producer’s surplus" using marginal cost, average cost and the average variable cost curves. …
- 269