Business

Rational Choice Theory is an economic principle that assumes that people always make prudent and logical decisions that supply to them the greatest profit or…

Profit Maximization is a process that companies undergo to determine the best output along with price levels so as to maximize its come back. The…

The point of total assumption (PTA) is a point on the price line of profit-cost curve based on the contract elements of a fixed price…

The supply and demand model is a partial equilibrium model the spot that the clearance available of some specific goods is obtained independently from charges…

Economic Cost is the total cost of choosing one action over another. The actual economic cost incorporates the accounting price, or actual funds spent executing…

General equilibrium theory reports supply and demand fundamentals in an economy with several markets, with the reason for proving that all prices are near equilibrium.…

Cost curve is a graph of the costs of production as a function of total quantity produced. In a free market economy, productively efficient firms…

Abatement Cost is a cost borne by simply many businesses for your removal and/or reduction of the undesirable item they’ve created. Abatement costs are generally…

Social cost is the total cost to be able to society. It includes both private charges plus any exterior costs. Social cost is the expense…

Contract failure describes a situation where the consumer of an excellent or service is unable to evaluate its top quality, thus incentivizing the producer to…

Market Failure is an economic term that encompasses a situation where, in any given market, the quantity of a product needed by consumers does not…

Economic interventionism is an economic policy view favoring government intervention in the market process to appropriate market failures and promote the final welfare. An economic…