marginal revenue


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marginal revenue

[′mär·jən·əl ′rev·ə‚nü]
(industrial engineering)
The extra revenue achieved by selling an extra unit of output.
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In addition, while the market-determined product price equals marginal cost at the profit-maximizing quantity of output for a ppt, the market-determined wage equals marginal revenue product at the profit-maximizing amount of labor for a rpt, with the logic of marginal reasoning behind these results quite similar for either decision.
This procedure is appropriate and yields excellent solutions for purely competitive markets because price is equal to marginal revenue; however, only in pure or perfect competition is marginal revenue equal to price.
Moreover, the marginal revenue for rehabilitation care under cost-based payment is directly related to treatment costs because all reasonable costs, including a return on investment, are reimbursed.
In order to increase profits, a firm should expand employment so long as the marginal revenue product (MRP) exceeds the marginal cost (MC), or reduce employment if the marginal revenue product is less than its marginal cost.
Meanwhile, the labor demand curve will shift down (in a southwesterly direction) by the cost of the mandated benefit to employers, since workers' total marginal revenue product, or overall contribution to firms' revenue, will be lower by the cost of the benefit (which employers must now provide).
The relative impact has been interpreted as the marginal revenue of using a media vehicle.
This means that if the revenue increases (decreased) with the index, then the higher value of [epsilon] induces the higher (lower) marginal revenue with respect to the index.
But instead of choosing an output level that equates marginal production cost to marginal revenue, optimality requires the firm to choose output levels of all possible products, in order to equate marginal revenue with the marginal opportunity cost, or marginal value, of the resources.
While marginal cost is always c, marginal revenue is -b([q.
This result suggests that if the marginal revenue from one market segment is higher than that from the other segment, profits can be maximized by shifting to the market segment with the higher marginal revenue until the equality in the above equation is obtained (Kotler, 1972).
If the marginal revenue [MATHEMATICAL EXPRESSION NOT REPRODUCIBLE IN ASCII] is very high, the additional funds the government raises are large.
Data were collected on marginal costs to the practice, confirmatory follow-up examinations, and marginal revenue received from follow-up treatment with the author.