What is the producer equilibrium ??
Answers
Answered by
23
Heya....
See here for your answer....
================
Producer equilibrium --
It is the situation of maximum profit by the producer , where he can stop the production to get the higher output and higher revenue...
Explaiination...
In this situation
Marginal revenue = Marginal cost
Means , What all the cost producer is using in his production of products in return he is getting all the back...
Marginal cost is rising at equilibrium point...
Means , If MC rise then it mean this is the last stage of production and here output will be maximum..
Thank you
See here for your answer....
================
Producer equilibrium --
It is the situation of maximum profit by the producer , where he can stop the production to get the higher output and higher revenue...
Explaiination...
In this situation
Marginal revenue = Marginal cost
Means , What all the cost producer is using in his production of products in return he is getting all the back...
Marginal cost is rising at equilibrium point...
Means , If MC rise then it mean this is the last stage of production and here output will be maximum..
Thank you
Answered by
10
HEY MATE ✌️✌️
Producer Equilibrium refers to a situation of profit maximization .A producer strike his equilibrium at the level of output where profit is maximized . Any other level of output (other than the Equilibrium output) would mean (lower than the maximum).
⏺️ Profit is maximized and the producer strikes his equilibrium when the difference between TR and TC is maximized .
TR-TOTAL REVENUE.
TC-TOTAL COST.
(PRODUCER EQUILIBRIUM IS STRUCK AT THE LEVEL OF OUTPUT WHERE PROFIT IS MAXIMISED).
☑️ CONDITION OF PRODUCER EQUILIBRIUM :MR-MC APPROACH.
PROFIT IS MAXIMISED WHEN TWO CONDITION ARE SATISFIED⤵️⤵️⤵️
1)MR=MC
2) MC IS RISING ( MC IS GREATER THAN MR BEYOND THE POINTOF EQUILIBRIUM OUTPUT).
✨ Hope this help you ✨
Producer Equilibrium refers to a situation of profit maximization .A producer strike his equilibrium at the level of output where profit is maximized . Any other level of output (other than the Equilibrium output) would mean (lower than the maximum).
⏺️ Profit is maximized and the producer strikes his equilibrium when the difference between TR and TC is maximized .
TR-TOTAL REVENUE.
TC-TOTAL COST.
(PRODUCER EQUILIBRIUM IS STRUCK AT THE LEVEL OF OUTPUT WHERE PROFIT IS MAXIMISED).
☑️ CONDITION OF PRODUCER EQUILIBRIUM :MR-MC APPROACH.
PROFIT IS MAXIMISED WHEN TWO CONDITION ARE SATISFIED⤵️⤵️⤵️
1)MR=MC
2) MC IS RISING ( MC IS GREATER THAN MR BEYOND THE POINTOF EQUILIBRIUM OUTPUT).
✨ Hope this help you ✨
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