1) Elasticity: A measure of the responsiveness of quantity demanded or quantity supplied

to a change in one of its determinants.

2) Price elasticity of demand: A measure of how much the quantity demanded of a good

responds to a change in the price of that good. It is calculated as the percentage change

in quantity demanded divided by the percentage change in price.

3) Total revenue: Is the amount paid by buyers and received by sellers of a good. This

amount is the price of the good times the quantity of goods sold.

4) Income elasticity of demand:A measure of how much the quantity demanded of a

good to a change in consumer income. It is calculated as the percentage change in

quantity demanded divided by the percentage change in income.

5) Cross-price elasticity of demand:A measure of how much the quantity demanded of

a good with respect to the change in price of another good. It is calculated as the

percentage change in the demand of the first well, divided by the percentage change in

the price of the second well.

6) Price elasticity of supply:A measure of how much the quantity supplied responds to a

well on the change in the price of good. It is calculated as the percentage change in

quantity supplied divided by the percentage change in price.

7) Maximum price: The highest price at which you can legally sell a good price.

8) Minimal price: lowest price at which you can legally sell well.

9) Fiscal impact: How a market participants share the burden of a tax.

10) Welfare economicsStudy of how the allocation of resources affects economic well-

being.

11) WTP: Maximum amount that a buyer will pay for a good.
12) Consumer surplus: Amount a buyer is willing to pay for a good minus the amount

actually paid.

13) cost: Value of all to what the seller resignation to produce a good.

14) Producer Surplus: Amount received by the seller for a good minus the cost incurred

to provide it.

15) EfficiencyThe property which has a resource allocation of maximizing the total surplus

received by all members of society.

16) EqualityOwned by economic prosperity distribute evenly among the various members

of society.

17) Deadweight loss: Reduced total surplus it produces a market distortion, as it is a tax.

18) world price: The price of a commodity prevailing in the world market for the asset.

19) Tariff: A tax on goods produced abroad and sold in the domestic market.

20) externality: Uncompensated effect of the actions of a person on the welfare of another.

21) Internalizing the externality: Change the incentives for people to take into account

the external effects of their actions.

22) corrective tax: Tax that is intended to induce the responsible individuals to make

decisions to consider the social costs arising from a negative externality.

23) Coase theorem: It proposes that if individuals can negotiate without cost resource

allocation, they alone can solve the problem of externalities.

24) Transaction costs: Costs they incur the parties to the negotiation process to reach an

agreement and keep it.

25) Exclusion: Ownership of property, according to which can prevent a person from using

it.

26) Rivalry in consumption: Property of a well according to which the use of a person

decreases the use someone else can provide the same.

27) Private goods: Goods that are both exclusive and rival in consumption.

28) Public goods: goods that are neither exclusive nor rival in consumption.

29) Common resources: Goods that are rival in consumption, but are not exclusive.

30) Real reserved: Goods that are exclusive, but not rivals in consumption.

31) Parasite (free rider): A person who receives the benefit of a good but that evades the

payment.

32) Cost benefit analysis: Study comparing the costs and benefits to society of providing

a public good.

33) Tragedy of the Commons: It is a parable that illustrates why common resources are

used more than is desirable from the point of view of society.