Why does marginal cost increase as more is produced? Why is revenue maximized when elasticity is 1? Explain why the marginal revenue curve for a perfectly competitive firm is the same as its demand curve. Give 2 reasons why Marginal Revenue of a pure monopoly is downward ...
Why do we use marginal cost? Why does the price have to be equal to the marginal cost? Why does the short-run marginal cost curve eventually increase for the typical firm? Why does marginal cost rise with amount of output? Explain why the marginal cost curve is equal to the supply curve...
As demand slowly improved, companies added back hours, but they were slower to increase investment. Today the industry is in the middle of digital disruption from electrification, autonomous driving, connectivity, and shared mobility trends. Original equipment manufacturers (OEMs) are focused on the ...
You can make an argument for always tipping, or reducing a tip. In the end, it's subjective. Geoff WilliamsMay 2, 2025 Save on a Cinco de Mayo Party One way to save is to delegate food and beverages for people to bring so you don't have to shoulder the ...
If ever a situation arises where the cost of the extra unit is greater than the revenue, then the manufacturer will produce less of that product until it arrives back at a point where the marginal revenue matches the marginal cost or the breakeven point. The Case for Consumers Consumers ...
When its marginal cost falls below bcSi , the multiproduct firm's profits will start to increase. By (51) and by tSi < btS, btS − tSi < 1 2m + 2 < 1. 2m However, (51) also implies 1 − btS > 1 − 1 = m + 2 > 1 . m m 2m + 2 (2m + 2)m 2m 28 Because ...
UBS estimated earlier this year that a 10% increase in exports to China would add about 0.2 percentage point to Japan’s annual economic growth. Marginal? Not for an economy that has averaged only a bit more than 1% annual growth in the past decade. ...
We found that social networks were particularly prone to missing the right level of openness. Most of them failed because they opted for a high degree of openness in an attempt to quickly increase the number of users. They tended to underestimate the wisdom of a more closed approach, which ...
Why does customer service not increase proportionately to increases in total cost when a logistical system is being designed? Explain the three types of premiums and the role they play in bond rates. Explain how a decrease in input prices or an increase in efficiency would affect costs...
As argued byChoi et al. (2009), part of the observed increase in short interest around convertible bond offerings may be attributable to the short-selling actions of fundamental traders. In a second step, we therefore isolate the portion of the ΔSI/SO measure that can effectively be attribut...