Marginal utility

the price of a good or a service with its marginal cost is a key condition to ensure the efficiency of allocation of resources (Hall, 1986). The ultimate goal of this pricing rule is the maximisation of social welfare. If the pricing rule mentioned above is not applied, we can examine two different cases. If the marginal cost of a good is below its price, it should be necessary to decrease the price so as to maximise social welfare. By contrast, if marginal cost is above its price, social…

Monopolistic competition had first been identified in the 1930s by Edward Chamberlin and Joan Robinson. Monopolistic competition is a form of imperfect competition with no barriers to entry and many firms. This essay intends to analyse the impact of branding and innovation in a monopolistic coffee market with an analysis of its effects on short and long-run profits. This essay will then discuss how applicable theory is to the real-world with a focus on the competitive advantage gained from…

term on the left represents the change in revenue from producing one more unit, which is called marginal revenue. The term on the right represents the change in total costs resulting from producing one more unit, which is marginal cost. The firm 's profit will be maximized at the level of output whereby the marginal (additional) revenue received from the last unit produced is just equal to the marginal (additional) cost incurred by producing that last unit. Maximum profit for the firm occurs…

My capstone project was unique from everyone else, in my opinion. Most people organized an event and learned invaluable lessons about planning, budgeting, marketing, and many other lessons that can be learned from planning events. They learned lessons that one day I will hopefully learn; however, I am very thankful for not having an event based capstone. Doing research is not as flashy or exciting as having a 5k or having fundraising nights; but I believe it is equally beneficial. Although many…

Australian will be less people coming to Australia for studying .The Charles Darwin University should be decrease in price and increase quantity. The price decreases and the decrease in quantity supplied. According to the text book (Layton et al.2016), marginal cost curve upward sloping…

5. CREATIVE PHASE Table IV Functional Development to Cost (An Incline) Function Creative Ideas & Development Estimated Cost (Rs) Provide Surface 1) Change the material to Mild Steel 40 2) Change the copper to brass 70 3) Combine function of bracket 85 (For sliding surfaces, copper facilitates lu-brication & high con-ductivity.) (A) The existing cost of the Incline + Bracket assembly = 112…

Why is the digital price almost half of the print price? - To provide customers with a choice, The New York Times(NYT) offered one week print subscription for $15.40, while offering unlimited digital access for $ 8.75. The low setup costs of digital version enabled NYT to price it low and the high (52%) production and distribution costs of print forced NYT to charge a premium amount. This difference in price arose from the fact that company could afford to decrease the print circulation, thereby…

3.1. Growth Kinetic of strain: The growth curve of strain in both of mediums is shown in Fig. 1 (Supplementary data). It was apparent that 2 hours after nucleation of culture, strain interred to logarithmic phase and continues for 10 h in MRS broth and 12 h in PPM medium. Sonication continued in logarithmic phase in 2 h intervals. 3.2. The effect of ultrasound on growth kinetic: The growth curves plotted for the two condition (with and without sonication) (Fig. 1), growth kinetic parameters…

Homo economicus or the economic man can be referred to the concept of many theories of economics. It portrays human beings as self-interested and rational agents, who pursue optimally the subjectively defined ends. Homo economicus maximizes the utility as the customer and profitability as the producer. The whole theory is compared to the different concepts of economic behavior, cognitive biases as well as homo reciprocans. In the game theory, the homo economicus is related and associated with…

to produce a good is called the marginal resource cost. In many cases, these extra resources are the sources of labor and the costs incurred are the salaries paid to the employees. Organizations ensure that their marginal resource cost is equal to or less than the amount it takes to produce one more unit of the product. MRC= Change in total cost/Change in inputs When more units of variable inputs are used the marginal cost first decreases and then decreases. Marginal revenue product is the…