Question
Explain : (i) The difference between normal profits, supernormal profits and accounting profits. (ii) The concept of 'spreading overheads' and why keeping fixed costs down
Explain :
(i) The difference between normal profits, supernormal profits and accounting profits.
(ii) The concept of 'spreading overheads' and why keeping fixed costs down is applicable in all market structures.
(iii) In what circumstances may a firm be able to increase total revenue by decreasing the selling price of its product.
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Macroeconomics Principles and Applications
Authors: Robert E. Hall, Marc Lieberman
6th edition
1111822352, 1111822354, 9781133708742 , 978-1111822354
