ECON 208 Chapter Notes - Chapter 7: Marginal Product, Production Function, Fixed Cost

• School: McGill University
• Department: Economics (Arts)
• Course: ECON 208
• Professor: Wendy Dickinson

Document Summary

Chapter 7 producers in the short run. Take part in managing the firm x are personally liable for the firm"s actions and debts x. Take no part in the management of the firm. Risk only the money that they have invested: corporation x has a legal existence separate from that of the owners x owners not personally responsible x x. Shares traded on stock exchanges: state-owned enterprise x owned by the government x under the direction of a more or less independent state-appointed board x organisation and legal status similar to corporation, non-profit organisations x x. Provide goods and services with the objective of just covering their costs. Firms that have operations in more than one country. Their growing number reveals an increasing role for these corporations in the ongoing process of globalisation. Not all production in the economy takes place within firms. Many government agencies provide goods and services (financed by tax revenues)