Derived Demand - demand for resources that comes from demand for the goods that those resources make
Factor Demand - the demand for resources used in production
Factor Market - a market in which households compete to sell resources & firms compete to buy them
Factor Supply - the supply of resources used in production
Labor Market - a market in which firms hire workers
Marginal Product - the additional amount of output gained by adding one more input into production
Marginal Resource Cost - the additional cost of adding one more input into production
Marginal Revenue Product - the additional revenue gained by adding one more input into production
Monopsony - a factor market with only one buyer
Product Market - a market in which firms compete to sell goods & consumers compete to buy them
Wage - the pay rate or price for labor
Wage-maker - a firm that can choose what wage to hire at
Wage-taker - a firm that must accept the market wage rather than choosing the wage it wants to hire at