Supernormal Profit | 60 Second Economics | A-Level & IB
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YouTubetutor2u
Supernormal Profit | 60 Second Economics | A-Level & IB
Supernormal profit, also known as "economic profit," is when a firm earns more profit than the normal profit that covers its costs. This type of profit is typically only possible when a firm has some kind of competitive advantage, like a unique product or technology, that allows it to command higher prices or lower costs than its competitors ...
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