--%>
Assignment Help - homework help

Define Producers Equilibrium

Producer’s Equilibrium: A producer (or a firm) is said to be in equilibrium whenever it earns maximum gains. Profit maximization of a firm signifies maximizing the difference between total cost and total revenue. Whenever the gains of the firm are maximum, the firm is in equilibrium state. Firm achieves equilibrium position, that is maximizes gains at the level of output where a) MR = MC (b) MC is rising.

   Related Questions in Microeconomics

  • Q : Definition of Consumer Surplus The

    The difference among the price a consumer would have been eager to pay for the commodity and the price consumer really has to pay is termed as: (i) Gain. (ii) The substitution effect. (iii) The income effect. (iv) Consumer surplus.

  • Q : Depicts shift of the budget line The

    The shift of the budget line from cd to ab in the below  given figure is consistent with: 1) decreases in the prices of both M and N . 2) an increase in the price of M and a decrease in the price of N . 3) a decrease in money income. 4) an increase in money inc

    		•
  • Q : Determine total fixed cost This

    This profit-maximizing pure competitor’s fixed cost (TFC) can be calculated as area of: (1) 0Phq2. (2) 0bgq2. (3) Pbgh. (4) 0aeq1. (5) daef.

    Q : Market demand with market power

    LoCalLoCarbo has turn into the favorite of fad dieters. There in illustrated graph curve B shows: (i) LoCalLoCarbo’s marginal cost curve. (ii) LoCalLoCarbo’s average variable cost curve. (iii) LoCalLoCarbo’s average total cost curve. (iv) the market

    		•
  • Q : Current deposit account Name the

    Name the additional facility that the businessman acquires in the current deposit account of bank. Answer: The businessman acquires the facility of overdraft (that

    		•
  • Q : Process of Privatization The

    The Privatization is a process by which ‘for-profit’ business firms: (1) Transform small entrepreneurships into big corporations. (2) Hiring professional administrators to assist manage operations. (3) Vend corporate stocks and bonds to safe the economic c

    		•
  • Q : Deadweight Losses and Taxation Whenever

    Whenever a tax on a good outcome less government revenue than the sum of the losses of producer and consumer surpluses due to tax, economists state that the tax has caused a/an: (1) Administrative loss. (2) Market failure. (3) Economic loss. (4) Bureaucratic loss. (5)

    		•
  • Q : When are price variation tendencies

    Price variation tendencies are indeterminate while we know simply that: (1) super star salaries make this hard for team owners to meet rising demands for sporting events. (2) more people main in music although demands for musicians are falling. (3) oi

    		•
  • Q : Present Value of Future Income The

    The interest rate ____ as well as the present value of future income ____ when the preference for current income over the future income weakens. (w) falls; rises. (x) rises; falls. (y) falls; falls. (z) rises; rises.

    Q : Elasticity of demand as price-total

    Increasing the price of a product definitely raises total revenue when the elasticity of demand is as: (w) infinity. (x) unitary. (y) relatively elastic. (z) relatively inelastic.