August 2009
Beginner
256 pages
6h 29m
English
Content preview from The Manga Guide to Calculus
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The Product Rule of Dierentiation 57
We get
*
R ′(a) = p ′(a) × a + p(a) × 1
Right. Production
should be
stoed at the
exact moment it
becomes le
than the cost
of production
increase per unit.
In other words,
production wi be stoed
when
p ′(a) × a + p(a) = cost
of production. We know
that the first term is
negative, so the market
price p(a) is greater
thanthe cost.
But the price is
actuay greater
than the cost
of producing an
aitional unit when
a monopolistic
company stops
production.
That’s undue
price-fixing,
isn’t it?
You are right, but you
should take a closer
lk. Companies do
thisnot because of
malicious motives but
based on a rationa ...
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