经济学原理·萨缪尔森--中山大学岭南学院ch6.pptVIP

CH6 Production and Business Organization A.Theory of Production and Marginal Product Product Product Function Total Product Average Product Marginal Product Marginal Product Is Derived from Total Product Diminishing Returns in Corn Production Law of Diminishing Returns We will get less and less extra output when we add additional doses of an input while holding other inputs fixed. The marginal product of each unit of input will decline as the amount of that input increases, holding all other inputs constant. Return to Scale Constant Return to Scale: A change in all inputs leads to a proportional change in output. Return to Scale Increasing Return to Scale: An increase in all inputs leads to a more-than-proportional in the level of output. Return to Scale Decreasing Return to Scale: An increase of all inputs leads to a less-than-proportional increase in output. Short Run and Long Run Short Run: a period in which firms can adjust production by changing variable factors such as materials and labor but cannot change fixed factors such as capital. Variable Factors Fixed Factors Long Run: a period sufficiently long so that all factors including capital can be adjusted. Technological Change Improvements in the processes for producing goods and services, changes in old products, or introduction of new products. Process innovation product innovation Technological Change Shifts Production Function Upward Value of Networking Increases as Membership Rises Productivity and The Aggregate Production Function Productivity: the ratio of total output to a weighted average of inputs. Labor Productivity Capital Productivity Total Productivity B. Business Organizations The Nature of the Firm Exploit economies of mass production Raise funds organize the production process The Form of Firm the Individual Proprietorship the Partnership the Corporation * * * * * * *