The deep state entered Americaâs national discourse in 2017 with the feeling of an already familiar character, ready to assume a starring role as hero or villainâdepending on how you feel about Trump.
If a firm produces past that point, then marginal revenue is less than marginal cost. This means that the firm is losing profit with each additional unit of output and it should produce less. Remember that a competitive firm has a flat MR curve which is equal to the market price.
Marginal Revenue, Marginal Cost, and Profit Maximization pp. 262-8. We can study profit maximizing output for. any firm, whether perfectly competitive or. not. Profit (Ï) = Total Revenue - Total Cost. If q is output of the firm, then total revenue is. price of the good times quantity.