Question

A short note on production and cost of 2 microeconomics

Answer 1

Recall that in our initial discussion of the economy we identified two broad groups of economic actors (or units); they were households and firms. In our study of demand we looked at households as consumer units effecting demand for goods and services in the product market. On the supply side of the product market are the economic (or business) firms. They are the producers (and sellers) of goods and services. In this section we are going to look the behavior of an economic firm