Collection
zero Useful+1
zero

Profit function

Function of price in production problem
This entry is missing Overview , add relevant content to make the entry more complete, and it can also be upgraded quickly. Hurry up edit Come on!
Profit function refers to the function of the price in the production problem. For a specified price, it is equal to the maximum value of the price in the production set.
Chinese name
Profit function
Foreign name
profit function
This is because the negative component of the commodity vector in the production concentration represents the investment in production, and its inner product with the price is the cost in production; The positive component represents the output of production, and its net product with price is the income in production. Thus, profit is the difference between income and cost. The profit function is defined according to the economic view of marginalism [1]