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Choosing Output in the Short Run Homework Help

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Reasons for Choosing Output in the Short Run for Submitting Quality Assignment

Economics is a subject where all students should have a clear concept about every he or she to read about. Choosing output in the short run homework help professionals gives a detailed idea of what it means and certain other subheads. In short, it provides whatever is necessary for students to complete their work on time. Our experts explain topics in detail and simple words, so it is easily understandable by the readers.

What is Choosing Output in the Short Run means?

Before we go to the definition of this, we should know first about a short run in the subject economics. It is a concept which shows an economy to behave differently when it is dependent on time length; it reacts to stimuli of a certain kind. It does not generally refer to the duration of time which is specified. It is unique to any economic variable, firm or industry being studied.

In short run, competitive industry or firm maximize their profit by having or choosing an output at which MC or marginal cost is equal to price or marginal revenue (MR) of its commodity. The firm’s profit is measured by rectangle ABCD. Our choosing output in the short run assignment help properly describes this with diagrams.

Short Run Profit or Loss

A competitive, monopolistic firm maximizes its profit or tries to minimize its losses. This is done by producing a quantity which corresponds to the time where marginal cost equals marginal revenue. If average cost total is below market price, the firm will be able to earn an economic profit. Know more about this from our choosing output in the short run homework help.

Difference between Short and Long Run

The certain difference should be kept in mind when differentiating between the two. They are:

  • In long run, only variable costs is there where as in short run both variable and fixed cost is there
  • Through efficiency, the long run costs generally, are sustained when a firm produces output and the result in desired quantity of commodity at lowest cost possible
  • Cost of variable changes with the output. For example, variable costs are things like wages of the employees or raw materials cost In short run, costs decrease or increase based on the production rate as well as variable cost. If any firm manages cost well during short run, then it is more likely that the firm will succeed in achieving its desired costs and goals in the long run. To know more about all these, you can check out our Choosing Output in the Short Run assignment help.

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