Glossary
- Abatement technology
A production technology that reduces or prevents pollution. (p. 249)
- Ability-to-pay principle
The proposition that people should pay taxes according to how easily they can bear the burden. (p. 206)
- Absolute advantage
When one person (or nation) is more productive than another—needs fewer inputs or takes less time to produce a good or perform a production task. (p. 73)
- Adverse selection
The tendency for people to enter into transactions that bring them benefits from their private information and impose costs on the uninformed party. (p. 297)
- Aggregate demand
The relationship between the quantity of real GDP demanded and the price level when all other influences on expenditure plans remain the same. (p. 756)
- Aggregate ...
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