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Interaction of Individuals, Firms, and Societies
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Economics
Concept Version 8
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Introducing the Firm

The Firm

The Firm

Organizing production under firms reduces the transaction costs of coordinating production in the market.

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    "RICOH Company Head Office Building 2007-1."
    http://commons.wikimedia.org/wiki/File:RICOH_Company_Head_Office_Building_2007-1.jpg Wikimedia CC BY-SA.

Related Terms

  • increasing returns to scale
  • firm
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