17-cost curves more jpw

17-cost curves more jpw - From Cost Curves To Profit...

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
microL17-S2010-page http://www.arts.cornell.edu/econ/wissink/econ1110jpw/ From Cost Curves To Profit Maximization Lecture 17-PREVIEW Dr. Jennifer P. Wissink ©2009 John M. Abowd and Jennifer P. Wissink, all rights reserved. March 29, 2010
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
microL17-S2010-page http://www.arts.cornell.edu/econ/wissink/econ1110jpw/ The Seven Short Run Cost Concepts Total values fc = fixed costs = vc = variable costs = srtc = short run total costs = fc + vc Average values afc = average fixed cost = fc/q sravc = short run average variable cost = vc/q sratc = short run average total cost = srtc/q = (afc + sravc) Marginal cost srmc = short run marginal cost = srtc/ q = vc/ q
Background image of page 2
Apples (tons/year) $fc $vc $srtc $afc $avc $sratc $srmc 0 50 100 150 200 250 300 350 Jonathan's Apple Farm Cost Structure Prices Labor's time $8.00 per hour Owner's time $12.00 per hour Rent $124.00 per acre Jonathan's Apple Farm Production Function Apples (tons/year) Land (acres) Labor
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 01/27/2011 for the course ECON 1101 at Cornell.

Page1 / 12

17-cost curves more jpw - From Cost Curves To Profit...

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online