Unit 4: Factor Markets
The following topics will makeup approximately 10-18% of the multiple choice questions on the AP Exam.
After completing this unit you must be able to:
- Explain the concept of derived demand. (4-1)
- Define monopsony. (4-1)
- Define marginal revenue product and be able to calculate its value. (4-1)
- Calculate and explain the quantity of labor or a resource to be hired or bought by a firm. (4-1)
- Understand and explain the market distribution of income. (4-1)
- Define and explain the idea of economic rent. (4-3)
Unit 4 Documents
These documents will be provided at the beginning of each unit. If you lose them it is your responsibility to reprint the necessary pages.