term1 Definition1term2 Definition2term3 Definition3
Please sign in to your Google account to access your documents:
Normal profit
AC=AR
The minimum level of profit required to keep factors of production in their current use in the long run. Reflects opp cost.
Subnormal profit
Loss in profits ; AC>AR or AR
Supernormal profit
Abnormal profits ; AR < AC
Is any profit achieved in excess of normal profit - also known as supernormal profit. Persists in the long run in imperfectly competitive markets
Need help typing ? See our FAQ (opens in new window)
Please sign in to create this set. We'll bring you back here when you are done.
Discard Changes Sign in
Please sign in to add to folders.
Sign in
Don't have an account? Sign Up »
You have created 2 folders. Please upgrade to Cram Premium to create hundreds of folders!