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9: Production

Last updated

Jan 4, 2021
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- 8.2: Common Resources
- 9.1: The Production Function

Boundless
Boundless

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9.1: The Production Function
The production function relates the maximum amount of output that can be obtained from a given number of inputs.
9.2: Production Cost
Variable costs change according to the quantity of goods produced; fixed costs are independent of the quantity of goods being produced.
9.3: Economic Profit
Economic profit consists of revenue minus implicit (opportunity) and explicit (monetary) costs; accounting profit consists of revenue minus explicit costs.

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