Question

Explain the condition of production equilibrium in terms of marginal cost and marginal revinue

Answer 1

The production as the producers priority can as well be explained through the condition of equilibrium where by the producers equilibrium is realized when the Marginal revenue equals to marginal cost. Marginal revenue is the additional unit realized from a sale of a more unit of output whereas  marginal cost ts the additional cost realized when a unit of cost is increased.