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Chapter 4 Production and Cost - Economics DeMYSTiFieD [Book] ~ chapter 4Production and Cost. In the previous chapter, we covered the demand half of the model of demand and supply; now we turn to the supply half. As we saw in Chapter 3, demand is a result of a buyer’s objective of maximizing utility.Similarly, supply is the result of a seller’s objective of maximizing profit.Before we discuss things like the law of supply and supply curves, it’s .

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