As marginal revenue decreases with the unit price, it must be compared with the marginal cost of producing a unit. In this case, if the rise in advertising costs have outpaced the drop in price ...

What is the firm's marginal rate of technical substitution? c). Suppose the price of capital, r, is $1 and the price of labor, w, is $2. How much capital and labor will the firm use to produce Q=4?

In his new book, The Zero Marginal Cost Society, Rifkin argues that we are about to enter an era when the Internet of Things, “free” energy, and what he calls “the collaborative commons” will make ...