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DOUBLE TAXATION: The payment of income taxes on corporate profits twice, once when it is received by a corporation as profit and second when it is received by shareholders as dividends. Double taxation has been thorn in the side of those who own a lot of corporate stock and thus receive a lot of stock dividends. It is also problem in standard corporations (C corporations) which as given rise to a newer legal type of firm, S corporation, which is not subject to double taxation.

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Lesson 14: Production | Unit 3: Product Curves Page: 11 of 25

Topic: Total Product Curve <=PAGE BACK | PAGE NEXT=>

  • The total product curve.

  • The total product curve that graphically represents the relation between total production by a firm in the short run and the quantity of a variable input added to a fixed input.

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INCREASING MARGINAL RETURNS

In the short-run production by a firm, an increase in the variable input results in an increase in the marginal product of the variable input. Increasing marginal returns typically surface when the first few quantities of a variable input are added to a fixed input. This is one of two alternatives for marginal returns. The other is decreasing marginal returns. A related phenomenon for long-run production is increasing returns to scale.

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Today, you are likely to spend a great deal of time searching for a specialty store looking to buy either a toaster oven that has convection cooking or a birthday gift for your mother. Be on the lookout for door-to-door salesmen.
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On a typical day, the United States Mint produces over $1 million worth of dimes.
"All things are difficult before they are easy."

-- Thomas Fuller, Physician

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