Profits was determined regarding the final row of the table. About HealthPill example in Contour dos, the best cash arise at the numbers where total funds ‘s the farthest above total cost. Of the selection given regarding desk, the best payouts are present at a productivity off 4, in which earnings is actually 800.
However, an effective monopolist commonly has actually pretty reliable information about how exactly changing yields because of the short otherwise moderate quantity usually affect their marginal profits and you can marginal can cost you, whilst has already established experience in such as for example change through the years and you will as the small change are easier to extrapolate from most recent feel. Read More