01:220:389 Lecture Notes - Lecture 2: Oligopoly, Economic Surplus, Root Mean Square
Document Summary
You are the owner, whatever you say goes! In a partnership, their are con icts, especially if money is lost! You buy a part of the company for this amount! Value of the stock is not determined by price! Making the company make money (both stock and directors)! Buy low and sell high! you never lose money unless company ! runs out of money! The difference in the objective in the owners and the managers of the company! The owners have advantage because they have ownership of other companies! Likelihood that managers may place personal goals ahead of corporate goals! Total cost = fixed cost + variable cost! Volkswagon ! criminal prosecution of engineer! cost = ,000,000,000! Wells fargo! falsi cation of documents ! opening up extra accounts to people that didn"t want them ! Avg total costs= avg xed costs +avg variable costs! Marginal costs change in total cost/ change in quantity!
