Production

Production is the process of altering resources or inputs so they satisfy more wants. Before goods can be distributed or sold, they must be produced. Production, more specifically, the technology used in the production of a good (or service) and the prices of the inputs determine the cost of production. Within the market model, production and costs of production are reflected in the supply function.

1. The process of production and it’s objective
2. Production Function
3. Time and Production. Production in the Short-Run
3.1. Average, Marginal and Total Product
3.2. Law of diminishing returns
4. Producer’s behavior
4.1. Isoquant and Isocost
4.2. Cost minimization (Producer’s choice optimisation)