Normal profit, Microeconomics

Normal profit:

Normal profit is when total revenue is exactly equal to total cost when the latter includes both explicit costs. It is the type of profit when made by firms in an industry does not attract new firms into the industry even when no barriers to entry exist. Existing firms also do not leave industry also. The firm’s profit then is equal to the implicit costs.

Posted Date: 1/2/2013 11:50:53 PM | Location : United States







Related Discussions:- Normal profit, Assignment Help, Ask Question on Normal profit, Get Answer, Expert's Help, Normal profit Discussions

Write discussion on Normal profit
Your posts are moderated
Related Questions
consumer=m with the help of indifference curve analyis

Processors of aseptically packaged juice-based beverages must adequately heat their product before packaging it in order to be sure that they have “killed” the microorganisms which

can average labor productivity fall even though total output is rising

What is affected variable and cause variable?  In a graph, one variable is dependant and the other is independent. The dependant variable is known as effect variable and indepe

Suppose that doctors shift away from a fee-per-visit system and are instead paid set annual salaries. What effect will this have on the supply and demand situation for the health

Program Spending: Government spending that is undertaken to provide useful public programs. Program spending includes both transfer payments which are intended to supplement the in

Rationale for government intervention There are six major functions the government can perform in an economy. 1. The government provides a legal and social framework within which

identify three factors to criticize the theory of consumer behavior or utility theory

can you help me answer an economics question

Ask question #Minimu2. Profit maximization is theoretically the most sound but practically unattainable objective of business firms. In the light of this statement critically appra