The definitions that best suit the terms given are:
- Amendment: a change in a legal document, such as the Constitution
- Carpetbagger: Northerner who moved to the South during Reconstruction
- Monopolize: a system of commerce in which several companies work together to control prices and limit competition
- Nativism: favoritism toward the native-born citizens of a country
- Ratify: to officially endorse or approve something, usually a document
- Scalawag: a Southern white who joined the Republican Party during Reconstruction
- Trust: to control all of a product or another person's time
- Total money receipts of a firm from the sale of a given output is called total revenue.
TR = OUTPUT*PRICE
Marginal revenue is the change in total revenue when one more unit of a commodity is sold.
MR= change in TR/change in quantity sold
Average revenue refers to revenue per unit of output.
AR=TR/Q
Relationship between AR and MR:
a) When AR is decreasing, MR should be decreasing faster than AR. Thus, downward sloping MR curve is below the downward sloping AR curve(a situation of monopoly and monopolistic competition)
b) If AR is constant, MR is equal to AR. Both are indicated by the same horizontal straight line(a situation of perfect competition)
c) MR can be negative, but not AR.
