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Production and the Probabilities of Cost

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  • A. J. Nichol

Abstract

Costs calculated in terms of probability, 69. — Deriving particular specifications of supply from given probabilities of cost: initial conclusions, 71. — More complex conditions: dispersion and skewness of cost expectations, 74; variations in dispersion, 78; in skewness, 85; in both, 86. — Influence of dispersion and skewness on monopoly, 86. — "Marginal probability of net revenue," and "marginal production risk," 87. — Conclusions, 88.

Suggested Citation

  • A. J. Nichol, 1942. "Production and the Probabilities of Cost," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 57(1), pages 69-89.
  • Handle: RePEc:oup:qjecon:v:57:y:1942:i:1:p:69-89.
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