1. Summarize the law of diminishing marginal utility; describe the process of utility maximization.
2. Describe the production function and the Law of Diminishing Marginal Productivity; calculate and graph short-run and long-run costs of production.
3. make you summarize the law of diminishing marginal utility (from chapter 6 on consumer theory), anddescribe the process ofutility maximization- how rational consumers are expected to take into account the expectedmarginal utility of a product and its price(these are the two factors which together determine "marginal utility per dollar"; a change in either one might change what a consumer might decide to buy.
4. say what a firm'sproduction functionis (what does a production function show?)-(from Chapter 7 on firms and their costs of production), and tell whatthe law of diminishing marginal productivityis (or law of diminishing returns) also in Ch 7.