SUMMARY
Firms maximise profits where marginal cost equals marginal revenue. This may lead to a profit, breaking even, or making a loss in the short run, depending upon demand conditions.
Last modified: Thursday, April 26, 2012, 11:45 AM
Firms maximise profits where marginal cost equals marginal revenue. This may lead to a profit, breaking even, or making a loss in the short run, depending upon demand conditions.