thanks very much sir....im doing economics at varsity, is a semester module but since I've got so much to do i don't have real much time to learn it in text book, i only read the slides so what i am trying to say your lessons are indeed the best.
Help me understand this pls , if you’re to the left, aren’t you earning more than revenue than the cost it takes to produce ? Shouldn’t you stick to the left of the diagram ?
But if I sell it at a higher price than what it costs me to make, then would I not make more profit? Is it not better to produce at a point lower than the point where MC=MR?
Hi...how would you calculate TVC,TC,and PROFIT..if the given were only quantity and price and TFC..? Cost of materials is 50.80 per unit..and cost of labor is 51.10..
Also why does more output lead to the weird parabolla shaped marginal cost curve...could you explain it more, im not smart so i can't just understand it by myself.
What I don't understand is why would a firm continue moving to the right towards MR= MC? To the left, MR>MC so they are making supernormal profit which is a good thing right? They are generating more revenue for each additional output than the cost required to produce one more.
Sir,maximisation of profit means high profit.At that point he will be getting high profit.But in the first diagram,mcost is less than mar.revenue.There he will be getting high profits.why can not he stop production at that point.can you explain this in simple terms if you have time,please.p siva rao,India.
Just use 'profit'. Term economic profit=Implicit+Explicit Cost. Which is whole another topic. And yes he is talking about total profit firm would get from the production.
Alvin Daniswara yeah economic profit or total economic profit means the same which equals implicit costs+explicit costs. However accounting profit only includes explicit costs.It does not consider implicit costs or opportunity costs.
When MC is less than MR, the price is higher than the cost productions, therefore will you be making profits. The more you increase production the more profit you will get until you reach the point where MR = MC. If you then continue to increase production after that point MC will be higher than MR, therefore it will cost more to make than you will receive for selling that product. Therefore the highest point of profit is where MR is equal to MC.
I dont get why you are losing out on potential profit to the left of the point..since your revenue is more than cost it seems good because your making money and the less your revenue is than your cost, i would think the better...so i would think you are making the most profit for the next unit when you have the least number of units produced...
Because economic profit includes opportunity cost. If you could have produced one more unit and made a profit on it but didn't, you lose on opportunity costs. Make more sense now? :)
"As far back as I can remember I always wanted to be a gangster." I'm so glad Ray Liotta is doing economics videos now. ruclips.net/video/_vUUdRsDgVA/видео.html
Learned more in the first 60 seconds of this video then i did in about 5 weeks of lectures
Awesome, glad you found it useful!
Jordan Jones can’t agree anymore than this
This is the best video on this topic slow and nice explanation others come shout and teach themselves thanks professor
thanks very much sir....im doing economics at varsity, is a semester module but since I've got so much to do i don't have real much time to learn it in text book, i only read the slides so what i am trying to say your lessons are indeed the best.
Thanks for the video!!!!!!!! You explained the concept much better than my professor!!
very clear and well explained, thank you 😁✌️😆🎉
Oh, Man You save my presentation today... Thanks 🙏🏽
Awesome, good luck!
Thank you for teaching me what my professor couldn't
sir ! you are a brilliant, your 7 mn summarize a book, tank you
Glad it helped!
You explained it 1,000,000 x better than my professor ever could 👌🏻
Thank you sir
Awesome!
Thank you so much!!! God bless you!! This makes more a lot of sense!!!
best explanation ever!!!!
this answered so many questions...thank you!!
You are a living breathing Dank Meme. thank you
+Darien Ashley Thank you?
thx so much this is ANS for final EXAM of mine
Very good explanation !!!
my test is in 2 hours this is the best explanation I've seen so far althhough im still lost but ill get there
Help me understand this pls , if you’re to the left, aren’t you earning more than revenue than the cost it takes to produce ? Shouldn’t you stick to the left of the diagram ?
Dude. More learned in 3 minutes than 4-5 lectures.
thanks a lot! very well explained
I'm confused about the part at @1:30. How are you losing out on profit if your marginal revenue is greater than marginal cost?
Nathaniel King Because you can produce more, your profit isn't maximized. You aren't losing money per-say, you could just be making more(I think).
correct
But if I sell it at a higher price than what it costs me to make, then would I not make more profit? Is it not better to produce at a point lower than the point where MC=MR?
This video was a great help. Thank you very much.
Hi...how would you calculate TVC,TC,and PROFIT..if the given were only quantity and price and TFC..? Cost of materials is 50.80 per unit..and cost of labor is 51.10..
does this apply to monopoly and imperfect market structure?
No, only perfect competition. Check out the other videos for imperfect market structures and monopoly.
Also why does more output lead to the weird parabolla shaped marginal cost curve...could you explain it more, im not smart so i can't just understand it by myself.
very very very nicely explained
Glad to help!
What I don't understand is why would a firm continue moving to the right towards MR= MC? To the left, MR>MC so they are making supernormal profit which is a good thing right? They are generating more revenue for each additional output than the cost required to produce one more.
exactly what I am thinking
Thank you prof :) but what about the short run shut down point? when AR is less than average variable cost?
Gello that comes under supply curve of a perfect competition firm when price is equal to minimum of AVC
just wonderful
I liked your pen (pencil?)..... may i know its make.
Sir,maximisation of profit means high profit.At that point he will be getting high profit.But in the first diagram,mcost is less than mar.revenue.There he will be getting high profits.why can not he stop production at that point.can you explain this in simple terms if you have time,please.p siva rao,India.
thank you proff please do more videos short term runs
@3.30 that line should be MC, right?
I believe so.
just wondering, u mentioned about economic profit..does it mean the total economic profit?
Just use 'profit'. Term economic profit=Implicit+Explicit Cost. Which is whole another topic. And yes he is talking about total profit firm would get from the production.
Alvin Daniswara yeah economic profit or total economic profit means the same which equals implicit costs+explicit costs.
However accounting profit only includes explicit costs.It does not consider implicit costs or opportunity costs.
Perfect, many many thanks!
What equilibrium means?
What about the second condition
this is helpful! thank you
what pencil are you using
Zebra M-402, it's awesome!
Would have been better if you used actual numbers for your examples...Because my graph doesn’t have an MR line
Sorry about that.
Thank you its very helpful
I understand now. Thank you
Love from india i am class 12th student from cbse boards
nice one. Thanks
thank you this was very helpful !!
can someone tell me how the profit is going to increase when the cost of producing it is increasing ??
THANK YOU SO MUCH!!
thank you
thank you
thank you
thank you
when is this firm pareto optimal?
Can someone please explain why MR = MC is where profit maximization occurs? I need help in this..
Because each time you produce a new unit, if MR>MC, it means profits will go up and you should keep producing, and, if MR
When MC is less than MR, the price is higher than the cost productions, therefore will you be making profits. The more you increase production the more profit you will get until you reach the point where MR = MC. If you then continue to increase production after that point MC will be higher than MR, therefore it will cost more to make than you will receive for selling that product. Therefore the highest point of profit is where MR is equal to MC.
thanx this is real so helpful
how ? price is low so loss profit ! if selling higher price d upper will be profit
Thanks a lot.
Sir can you give me example questions
Thanks man..✌
Happy it helped!
THANK YOU MAN!!!
thanks sir
I dont get why you are losing out on potential profit to the left of the point..since your revenue is more than cost it seems good because your making money and the less your revenue is than your cost, i would think the better...so i would think you are making the most profit for the next unit when you have the least number of units produced...
exactly
shutyo dumb ass niga up
If u go left side u will decrease production and lose the profit
Because economic profit includes opportunity cost. If you could have produced one more unit and made a profit on it but didn't, you lose on opportunity costs. Make more sense now? :)
Thank you !
A very helpful video!
Good
Thank you
You sound so much like doug from the hangover!
Thanks so much!
helped alot.
thank you so much sir! this was very helpful.
thanks a lot
Great, thank you, helped a lot!
THANKS
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I saved my life
Background sound is poor...
Nice pen
Zebra all the way.
"As far back as I can remember I always wanted to be a gangster." I'm so glad Ray Liotta is doing economics videos now.
ruclips.net/video/_vUUdRsDgVA/видео.html
Mc = Mr , Mc = Mr , Mc=Mr …..
There is not enough information given to answer this question.
im gonna cry
Thank you
thank you