Session 2 Cost Analysis and Supply Managerial Economics Professor Changqi Wu.
1 Production and Cost in the Short Run Chapter 7 © 2006 Thomson/South-Western.
Why does production have a cost? because.... Scarcity Inputs are scarce. They have opportunity costs.
Microeconomics Unit III: The Theory of the Firm. Supply and demand are the two words that economists use most often. Supply and demand are the forces.
Today’s Topic-- Production and Output. Into Outputs Firms Turn Inputs (Factors of Production)
ECON 160
Session 2
Marketing Management 6.01 Part 3 The Production Process.
Chapter 13 notes The Costs of Production. Total Revenue, Total Cost, and Profit Total Revenue – The amount a firm receives for the sale of its output.
