Category: 09) Theory of the Firm

In the short‐run, some factors of production are fixed. Corresponding to each different level of fixed factors, there will be Read more…

The firm’s primary objective in producing output is to maximize profits. The production of output, however, involves certain costs that Read more…

The theory of the consumer is used to explain the market demand for goods and services. The theory of the firm provides an explanation for the Read more…

Economics Tutorials

9) Theory of the Firm