Long-Run Industry Supply Curve and Producer Surplus
Abstract
This paper uses the notion of Ricardian rents to resolve the confusion about the relationship between producer surplus and industry supply curve. Producer surplus is profits if it is not capitalized and is Ricardian rents if it is capitalized.
Full Text: PDF DOI: 10.15640/jeds.v3n1a4
Abstract
This paper uses the notion of Ricardian rents to resolve the confusion about the relationship between producer surplus and industry supply curve. Producer surplus is profits if it is not capitalized and is Ricardian rents if it is capitalized.
Full Text: PDF DOI: 10.15640/jeds.v3n1a4
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