Another way to represent a firm's producer surplus is as the area between the firm's marginal revenue

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Another way to represent a firm's producer surplus is as the area between the firm's marginal revenue and marginal cost curves. Why is this so? This fact can also be used to show that MR = MCat the firm's most profitable positive sales quantity. Can you see why?
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Microeconomics

ISBN: 978-1118572276

5th edition

Authors: David Besanko, Ronald Braeutigam

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