Eliminating Hal Varian’s Optimal Scale of Production

Eliminating Hal Varian’s Optimal Scale of Production

by Hak Choi
Epub (Kobo), Epub (Adobe)
Publication Date: 18/10/2024

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Hal Varian reproduced Edward Chamberlin’s average total cost (ATC) curve and called its minimum the optimal production scale. This book reveals that his claim was cheating and that minimum ATC itself is also deceptive. Subsequently, Varian tried to minimize total cost, but he forgot to set his derivative to zero. This book further proves that cost minimization is not a correct objective. Using profit maximization, this book proves that ATC-minimum or optimal scale has zero output.

ISBN:
1230008457721
1230008457721
Category:
Economic theory & philosophy
Format:
Epub (Kobo), Epub (Adobe)
Publication Date:
18-10-2024
Language:
English
Publisher:
Hak Choi

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