Transcript Lecture21-Script.ppt

Introduction to Manufacturing
Processes
Lecture 21
40. Aids to Production
Products and Manufacturing
Product Creation Cycle
Design → Material Selection → Process
Selection → Manufacture → Inspection →
Feedback
Typical product
cost breakdown
Manufacturing Process
A sequence of operations and processes
designed to create a specific product
The process of turning materials into a
product
©iStockphoto.com
©iStockphoto.com
©iStockphoto.com
Engineers in Manufacturing
Manufacturing Engineer
Select and coordinate specific processes
and equipment
Industrial Engineer
Responsible for the manufacturing system
design
Materials Engineer
Develop and select materials based on
desired material properties and
manufacturing processes
Manufacturing System Designs
Job Shop
Small quantities of products
Large variety of products
Products move through the shop to
various machines
General-purpose machines
©iStockphoto.com
©iStockphoto.com
Manufacturing System Designs
Flow Shop
Larger quantities of products
Production line
Special purpose machines
©iStockphoto.com
©iStockphoto.com
Manufacturing System Designs
Linked-Cell Shop
Manufacturing and subassembly cells
connected to final assembly
Lean production system
One piece flow system
©iStockphoto.com
©iStockphoto.com
Manufacturing System Designs
Project Shop
Product being manufactured cannot be
easily moved during production
Production processes are brought to the
product
Examples: Bridges, ships, large airplanes,
locomotives, large machinery
©iStockphoto.com
©iStockphoto.com
Manufacturing System Designs
Continuous Process
Large plants
Utilized in the manufacture of liquids, oils,
gases, and powders
©iStockphoto.com
©iStockphoto.com
Manufacturing System Designs
Lean Manufacturing
100% “good” units flow from process
to process
Integrated quality control (IQC)
All employees are inspectors
©iStockphoto.com
©iStockphoto.com
Basic Manufacturing Processes
Casting and Foundry
Forming or Metalworking
Machining
Joining and Assembly
Rapid Prototyping
Other
Casting and Foundry Processes
In one step raw materials are transformed
into a desirable shape
Parts require finishing processes
Excess material is recyclable
©iStockphoto.com
Basic Casting Process
A mold is created – A cavity that holds the molten
material in a desired shape until it is solidified
Multiple-use mold
Single-use molds
Material is heated to a specified temperature
Molten material is poured into a mold cavity
Molten material solidifies into the shape of the cavity
Casting or mold is removed
Casting is cleaned, finished, and inspected
Forming and Metalworking Processes
Utilizes material that has been cast
Modify the shape, size, and physical
properties of the material
Hot and cold forming
©iStockphoto.com
©iStockphoto.com
Forming and Metalworking Processes
Rolling – Material passes through a series of
rollers, reducing its thickness with each pass
Forging – Material is shaped by the controlled
application of force (blacksmith)
Forming and Metalworking Processes
Extrusion – Material is compressed and forced
through a die to produce a uniformed cross section
Wire, rod, and tube drawing – Material is pulled
through a die to produce a uniformed cross section
©iStockphoto.com
Forming and Metalworking Processes
Cold forming and forging – Slugs of material
are squeezed into dies
Machining Processes
Controlled removal of material from a part to
create a specific shape or surface finish
Cutting element is used
Movement must exist between the part and
cutting element
©iStockphoto.com
Machining Processes
Turning Processes
Operations that create cylindrical parts
Work piece rotates as cutting tool is fed into
the work
©iStockphoto.com
©iStockphoto.com
Machining Processes
Turning Processes
Lathes and turning centers
Processes include: Straight, taper, contour
turning, facing, forming, necking, parting,
boring, threading, and knurling
©iStockphoto.com
©iStockphoto.com
Machining Processes
Milling Processes
Operations that create flat or curved
surfaces by progressively removing
material
Cutting tools rotate as the work piece is
secured and fed into the tool
Machining Processes
Milling Processes
Mills – Vertical and horizontal
Processes include: Surfacing, shaping,
forming, slotting, T-slotting, angle, straddle,
dovetailing, and slab milling
Machining Processes
Drilling Processes
Operations that create holes
Cutting tools rotate and are fed into
nonmoving secured work pieces
Machining Processes
Drilling Processes
Drilling and boring machines
Processes include: Drilling, counter drilling,
step drilling, boring, counter boring,
countersinking, reaming, spot facing, and
tapping
Machining Processes
Shearing Processes
Operations that break unwanted material away
from the part
A material is placed between a stationary and
movable surface. The movable surface (blade,
die, or punch) applies a force to the part that
shears away the unwanted material.
Machining Processes
Shearing Processes
Automated hole punch, squaring shear, and
rotary cutter
Processes include: Shearing, blanking, cutoff,
and parting; punching, perforating, and slotting;
notching, lacing, and trimming
Machining Processes
Abrasive Machining Processes
Operations in which small particles of materials
(abrasives) remove small chips of material upon
contact
Drum, disc, and belt sanders; surface, vertical
and horizontal spindle; disc grinders; media
blaster; tumblers
Machining Processes
Thermal and Chemical Processes
Operations that cut and shape materials
through chemical means
No mechanical force is used
Electrical discharge, electrochemical,
chemical, laser, electron beam, flame
cutting, and plasma-arc cutting
Processes include: Grinding, sawing,
cutting, machining, milling, blanking, and
etching
Rapid Prototyping
Additive process
Parts are produced directly from software
applications
Common rapid prototyping systems include:
stereolithography (SLA), selective laser
sintering (SLS), fused deposition modeling
(FDM), laminated object manufacturing
(LOM), digital light processing (DLP)
Rapid Prototyping
Finished parts can be field tested depending
upon building material
Created parts can be used to create a mold
Modifications to design can be implemented
quickly
Other Manufacturing Processes
Testing
Transportation
Material handling
Packaging
©iStockphoto.com
Material-Specific
Manufacturing Processes
Plastic Processes
Ceramic Processes
©iStockphoto.com
Plastics Manufacturing Processes
Extrusion
A rotating screw forces plastic through a
heating chamber and then through a
heated die
Produces long plastic parts with uniform
cross sections
Plastics Manufacturing Processes
Injection Molding
Heated plastic is forced by a movable plunger
through a nozzle and then into a mold. The material
fills the mold and then is cooled.
Most widely used high-volume production process
Plastics Manufacturing Processes
Casting
Plastic is melted and poured into a mold –
No pressure or fillers are required.
Rotational Molding
A closed mold is filled with a
predetermined amount of plastic. The
mold is heated, rotated, and then cooled
to create a hollow plastic object with
uniform wall thickness.
Plastics Manufacturing Processes
Blow Molding
A solid bottom hollow tube is placed
between two mold halves and heated.
The heated tube is then expanded into
the sides of the mold with compressed
air.
Plastics Manufacturing Processes
Thermoforming
Plastic sheets are heated over an open
mold to a working temperature. Once
workable, a vacuum is applied to the mold,
forcing the plastic sheet to take the shape
of the mold.
Reaction Molding
Liquid reactants are mixed and then
pressurized into a mold.
No heat is needed. Curing time is typically
less than 1 minute.
Ceramic Manufacturing Processes
Two distinct classes of materials and
processes exist.
Glass is heated to a molten state, shaped
by viscous flow, and then cooled to
produce a solid.
Crystalline Ceramics
Material is shaped and then heated
to produce a permanent solid.
Manufacturing Importance
Typical product
cost breakdown
INTRODUCTION TO
CLEANER PRODUCTION (CP)
CONCEPTS AND PRACTICE
Prepared by the Institute of
Environmental Engineering (APINI)
Kaunas University of Technology,
Lithuania
For UNEP, Division of
Technology, Industry, and
Economics
Contents
1. How did environmental strategies evolve?
2. What is CP?
3. How CP is applied in practice:
CP practices
Benefits and barriers
Procedures
4. What is CP contribution to main stakeholders?
Governments
Financial institutions
43
Course Objective
At the completion of this course the participants
will have understanding of :
-
Evolution of environmental strategies, concept
of sustainable development
-
Basic concepts of preventive environmental
approaches
-
Methodology of CP implementation in industrial
enterprises
-
How to develop and implement CP project
44
Passive environmental
strategies
Dilute & disperse
45
Reactive environmental
strategies
end-of-pipe approaches
46
Reactive environmental strategies
On - site recycling
47
Proactive environmental
strategies:
Cleaner Production
Prevention of Waste
generation:
- Good housekeeping
- Input substitution
- Better process control
- Equipment modification
- Technology change
- On-site recovery/reuse
- Production of a useful by-product
- Product modification
48
What is waste?
There are literally hundreds words for
different types of waste:
• allowance
• greenhouse loss
• BOD
• broke
• contaminated
solids
• core loss
• customer returns
• damage
• draining
• dust
• effluent
• evaporation
• furnace loss
• hidden losses
• leakage
• non-conforming material
• overfill
• packaging
• process loss
• rework
• second quality
• stock loss
• washings
and etc.
49
!!!
Waste is waste what
ever you call it : take
the opportunity to cut
waste and increase
profits!
50
Cleaner Production Financing
The “Cost of Waste” Iceberg
THE HIDDEN COST
OF WASTE
Adapted from: Bierma, TJ., F.L. Waterstaraat, and J. Ostrosky. 1998. “Chapter 13: Shared Savings and
Environmental Management Accounting,” from The Green Bottom Line. Greenleaf Publishing:England.
51
Where are you now?
• Only a change in
technology would
eliminate waste
completely
• We are optimising
our processes and
achieving big cost
reductions
• Waste is coming
down as we change
the way we work
•
We have identified
our waste and
monitoring it
•
We plan to reduce
waste
•
Waste is cost and
regulatory issue
•
Waste is only
disposal issue
•
Waste is not an
issue
52
Cleaner Production Definition
“The continuous application of an integrated
preventive environmental strategy applied to
processes, products, and services to increase
overall efficiency and reduce risks to humans
and the environment.”
(United Nations Environment Programme)
53
Cleaner Production Definition
Continuous
Preventive
Integrated
Products
Processes
STRATEGY for
Services
Humans
Risk Reduction
Environment
54
Properly implemented CP :
always
•
reduces long-term liabilities which
companies can face many years
after pollution has been generated
or disposed at a given site
55
Properly implemented CP :
usually




increases profitability
lowers production costs
enhances productivity
provides a rapid return on any capital or
operating investments required
 increases product yield
 leads to the more efficient use of energy
and raw materials
56
Properly implemented CP :
usually
(continuation)
 results in improved product quality
 increases staff motivation
 relies on active worker participation in
idea generation and implementation
 reduces consumer risks
 reduces the risk of environmental
accidents
 is supported by employees, local
communities, customers and the public
57
Properly implemented CP :
often
 avoids regulatory compliance costs
 leads to insurance savings
 provides enhanced access to capital from
financial institutions and lenders
 is fast and easy to implement
 requires little capital investment
58
Cleaner Production principles
• precaution principle
• preventive principle
• integration principle
59
How CP could be applied in
practice?
60
Cleaner Production practices
1. Good housekeeping
take appropriate managerial and
operational actions to prevent:
- leaks
- spills
- to enforce existing
operational
instructions
61
Cleaner Production practices
2. Input substitution
substitute input materials
- by less toxic
- or by renewable materials
- or by adjunct materials which
have a longer service life-time
in production
62
Cleaner Production practices
3. Better process control
modify:
- operational procedures
- equipment instructions
and process record keeping in
order to run the processes more
efficiently and at lower waste and
emission generation rates
63
Cleaner Production practices
4. Equipment modification
modify the existing production
equipment and utilities in order:
- run the processes at higher
efficiency
- lower waste and emission
generation rates
64
Cleaner Production practices
5. Technology change
replacement of:
- the technology
- processing sequence
- synthesis pathway
in order to minimise waste
and emission generation
during production
65
Cleaner Production practices
6. On-site recovery/reuse
- reuse of the wasted materials
in the same process for another
useful application within the
company
66
Cleaner Production practices
7. Production of a useful by-
product
consider transforming waste into
a useful by-product, to be sold
as input for companies in
different business sectors.
67
Cleaner Production practices
8. Product modification
modify the product
characteristics in order:
- to minimise the environmental
impacts of the product during
or after its use (disposal)
- to minimise the environmental
impacts of its production
68
What is not CP?
• Off-site recycling
• Transferring hazardous
wastes
• Waste treatment
• Concentrating hazardous
or toxic constituents to
reduce volume
• Diluting constituents to
reduce hazard or toxicity
69
What are the benefits of
Cleaner Production?
Improving
environmental situation
Increasing economical
benefits
Increasing
productivity
Continuous
environmental
improvement
Gaining
competitive
advantage
70
CP barriers
Internal to the companies:
-
-
Lack of information and expertise
Low environmental awareness
Competing business priorities, in
particular, the pressure for a short
term profits
Financial obstacles
Lack of communication in firms
Middle management inertia
Labour force obstacles
71
CP barriers
External to the companies:
-Difficulty in
accessing cleaner
technologies
The failure
of existing
regulatory
approaches
-Difficulty in
accessing
external finance
72
CP motivators and drivers
Internal to the companies:
- Improvements in productivity and
competitiveness
-
Environmental
systems
and
improvement
management
continuous
-
Environmental leadership
-
Corporate environmental
reports
- Environmental accounting
73
CP motivators and drivers
External to the companies:
-
Innovative
regulation
-
Economic
incentives
-
-
Education
and training
Buyer –
supplier
relations
- Soft loans from
Financial
institutions
-
Community
involvement
-
International
trade incentives
74
The role of
international organizations in CP
development
• United Nations Environment Programme (UNEP)
• United Nations Industrial Development
Organisation (UNIDO)
• Organisation for Economic Co-operation and
Development (OECD)
• World Business Council for Sustainable
Development (WBCSD)
• Development Finance Institutions (DFIs)
75
Team for CP success
• Managers, engineers and finance people in
industry and commerce, in particular those
responsible for business strategy, product
development, plant operations and finance
• Government officials, both central and
regional, who play an important role in
promoting CP
• Media
representatives
who
play
an
important role in disseminating information
on good environmental practice
76
Cleaner Production procedures
The recognized need
to minimise waste
The first step
The second
step
The third step
The fourth
step
Planning and
Organization
Assessment
Phase
Feasibility Analysis
Phase
Implementation
Successfully implemented CP projects
77
1. Planning & Organization
• Obtain management
commitment
• Identify potential barriers
and solutions
• Set plant-wide goals
• Organize a project team
78
2. Assessment
• Identify sources
• Identify waste/
pollution causes
• Generate possible
options
79
Material and energy balances
Heat
Raw
Materials
Power
The Industrial
Process
Cooling
The Energy
Balance
Products &
Waste
The
Mass
Balance
80
Why are material and energy
balances so important?
The material and energy balances are not only used to
identify the inputs and outputs of mass and energy but their
economic significance is related to costs, such as:
• cost of raw material in waste
• cost of final product in waste
• cost of energy losses
• cost of handling waste
• cost of handling waste
• cost of transporting waste
• cost of solid wastes disposal
• cost of pollution charges and penalties
81
Possible causes for waste
generation
Choice of
Production
Technology
Choice &
Quality of
Input Materials
Management
Planning &
Information
Systems
Technical
Status of
Equipment
Process
Personnel
Skills &
Motivation
Product
Specifications
Process
Efficiency
Wastes &
Emissions
82
CP assessment practices
Good
Housekeeping
Equipment
Modification
On-site
Recovery/
Reuse
Input
Substitution
Process
Production of
Useful
By-Product
Better Process
Control
Technology
Change
Product
Modification
83
3. Feasibility Studies
•
•
•
•
•
Preliminary evaluation
Technical evaluation
Economic evaluation
Environmental evaluation
Selection of feasible options
84
Payback Period
Payback period =
Capital
investment
__________________________
Annual___
operating cost savings
- period of time
(years) needed to
generate enough
cash flow to
recover the initial
investment
85
4. Implementation &
Continuation
•
•
•
•
Prepare a CP plan
Implement feasible CP measures
Monitor CP progress
Sustain Cleaner Production
86
CP attacks the problem at several levels at
once. The implementation of an
industry/plant level programme requires,
- the commitment of top management
- a systematic approach to CP in all aspects of
the production processes
87
CP management system
Marketing
Top management
commitment
Pre-assessment
CP policy
declaration
Start CP project
Project organization
Top Management reviews
Final report
The continuous
CP loop
Measure progress
Assessment
CP options
Feasibility analysis
Project implementation
88
Assessment report
CP and main stakeholders
89
How can governments promote
CP?
 Applying regulations
 Using economic instruments
 Providing support measures
 Obtaining external assistance
90
CP applicability for local
governments

Corporate decision-making

Local environmental management strategies

Community and industry partnerships

Sustainable economic development

Public environmental education

Specific local environmental
problems

Local environmental
monitoring
91
CP and financial institutions
Environmental evaluation can help:
•Establish an exclusion list
•Identify environmental risks in
every project
•Understand the financial
institution’s exposure to
environmental risks and liabilities
•Monitor the environmental risks
of transactions and respond
•Evaluate risks and liabilities in
foreclosure or re-structuring
activities
92
What are the benefits of
Cleaner Production?
Financial advantages:
Usually a short Payback Period of only months
Many low-cost options
Quick to implement
Improved cash flows
Greater shareholder value
Better access to capital and appeal to financial
institutions
• Inherent preventive approach leads to insurance
savings
•
•
•
•
•
•
93
Overall Risk Profile
CONSUMERS’
WORKERS’
HEALTH
NEW
REGULATIONS
HEALTH
ENVIRONMENTAL
ACCIDENTS
RISKS
REPUTATION
LIABILITY
CLEAN-UP
BUSINESS VALUE
INSURANCE
PRODUCT SALES
CLAIMS
94
Main factors affecting exposure
to environmentally-derived
risks
 The nature of environmental risks
inherent in business activity of the
client
 The size and term of, and the security
for, the transaction
 The client’s ability and commitment
to adequately manage these risks
95

If a CP project is presented to a financial
institution, it should be clear that the
company
voluntary
actions
rationalisingalready
the use undertook
of raw materials,
water and
energy
inputs, at:
reducing the loss of valuable material inputs and
aimed
therefore reducing operational costs

reducing the volume and/or toxicity of waste, wastewater
and emissions related to production

improving working conditions and occupational safety in a
company

making organisational improvements

improving environmental performance by the implementation
of no-cost and low-cost measures from the company’s funds

reusing and/or recycling the maximum of primary inputs and
packaging materials
96
Environmental investment
opportunities
 loans to enterprises to finance required or desired
investments in technologies resulting in direct and
indirect environmental benefits
 loans to municipalities to finance investments in
environmental infrastructure
 loan guarantees to both enterprises and municipalities
for “soft” credits from national or regional
environmental funds for environmental investments
 loans to finance businesses providing environmental
goods and services
97
What have we learned?
 The CP approach reduces pollutant generation at every
stage of the production process
 CP can be achieved through:
-
good operating practices
process modification
technology changes
raw material substitution
redesign and/or reformulation of product
 The economic advantages of CP are:
-
cost effectiveness
increased process efficiency
improved product quality and enterprise competitiveness
cost of final treatment and disposal is minimised
 Effluent treatment, incineration, and waste recycling outside
the production process are not regarded as CP
98
Broader Application of CP
CP is closely linked to:
• Environmental Management
Systems
• Total Quality Management
• Health and Safety
Management
99
Cleaner Production and
Sustainable Development
Sustainability
Environmental
space
Responsible Entrepreneurship
Economic Instruments
Eco-efficiency
Factor X
Co-regulatory agreements
Cleaner Production
Command & control
Compliance
Agenda 21
Government Agenda
Sustainable
development
Business
Agenda
EHS
ICC
Auditing
Charter
EMS
Time
100
!!!
CP is
a journey
not a
destination
101
9
CHAPTER
The Costs of
Production
ECONOMIC COSTS
Economic Costs or
Opportunity
Costs
Forgoing the
opportunity to
produce
alternative
Explicit
Costs
goods
and
services
Implicit Costs
ECONOMIC COSTS
Normal Profits
• Treated as a cost
• Required to attract &
retain resources
Economic or Pure Profits
Economic
Profit
Total
Revenue
Economic Cost
ECONOMIC COSTS
Economic (opportunity) Costs
Profits to an
Economist
Economic
Profit
Implicit costs
(including a
normal profit)
Explicit
Costs
Profits to an
Accountant
T
O
T
A
L
R
E
V
E
N
U
E
Accounting
Profit
Accounting
costs (explicit
costs only)
SHORT RUN AND LONG RUN
Accounting:
Short and long run is
based upon annual
chronology.
Economics:
Short run has fixed plant
capacity size.
Long run has variable
plant capacity size.
SHORT-RUN PRODUCTION
RELATIONSHIPS
Total Product (TP)
Marginal Product (MP)
Change in Total
Marginal Product Product
=
Change in Labor
Input
Average Product (AP)
Average Product =
Total Product
Units of Labor
Average Product, AP, and
Marginal Product, MP
Total Product, TP
SHORT-RUN PRODUCTION
RELATIONSHIPS
Law of Diminishing Returns
Total Product
Quantity of Labor
Quantity of Labor
Increasing
Marginal
Returns
Average
Product
Marginal
Product
Average Product, AP, and
Marginal Product, MP
Total Product, TP
SHORT-RUN PRODUCTION
RELATIONSHIPS
Law of Diminishing Returns
Total Product
Quantity of Labor
Quantity of Labor
Diminishing
Marginal
Returns
Average
Product
Marginal
Product
Average Product, AP, and
Marginal Product, MP
Total Product, TP
SHORT-RUN PRODUCTION
RELATIONSHIPS
Law of Diminishing Returns
Total Product
Quantity of Labor
Quantity of Labor
Negative
Marginal
Returns
Average
Product
Marginal
Product
SHORT-RUN PRODUCTION COSTS
Fixed Costs
Total Fixed Costs
Average Fixed Costs =
Total Fixed Costs
Quantity
Variable Costs
Total Variable Costs
Average Variable Costs =
Total Variable Costs
Quantity
SHORT-RUN PRODUCTION COSTS
Total Cost
Total Fixed and Variable Costs
Average Total Cost =
Total Costs
Quantity
Marginal Cost
Total Variable Costs
Marginal Cost =
Change in Total Costs
Change in Quantity
SHORT-RUN PRODUCTION COSTS
Summary of Definitions
Total Fixed Costs = TFC
Total Variable Costs = TVC
Total Costs = TC
Average Fixed Costs = AFC
Average Variable Costs = AVC
Average Total Costs = ATC
Marginal Cost = MC
SHORT-RUN COSTS GRAPHICALLY
Costs (dollars)
Combining TVC
With TFC to get
Total Cost
Total
Cost
TC
TVC
Fixed Cost
Variable Cost
TFC
Quantity
SHORT-RUN COSTS GRAPHICALLY
MC
Costs (dollars)
Plotting Average and
Marginal Costs ATC
AVC
AFC
Quantity
Average Product and
Marginal Product
PRODUCTIVITY AND COST CURVES
AP
MP
Costs (dollars)
Quantity of labor
MC
AVC
Quantity of output
LONG-RUN PRODUCTION COSTS
For every plant capacity
size...
there is a short-run ATC
curve.
All such plant capacities
can be plotted.
Unit Costs
LONG-RUN PRODUCTION COSTS
Output
Unit Costs
LONG-RUN PRODUCTION COSTS
Output
LONG-RUN PRODUCTION COSTS
Unit Costs
The long-run ATC just “envelopes”
all of the short-run ATC curves.
Output
Unit Costs
LONG-RUN PRODUCTION COSTS
long-run ATC
Output
ECONOMIES AND
DISECONOMIES OF SCALE
• Labor Specialization
• Managerial
Specialization
• Efficient Capital
• Other Factors
Diseconomies of Scale
Constant Returns to Scale
graphically presented...
ECONOMIES AND
DISECONOMIES OF SCALE
Unit Costs
Economies
of scale
long-run ATC
Output
ECONOMIES AND
DISECONOMIES OF SCALE
Constant returns
to scale
Unit Costs
Economies
of scale
long-run ATC
Output
ECONOMIES AND
DISECONOMIES OF SCALE
Constant returns
to scale
Diseconomies
of scale
Unit Costs
Economies
of scale
long-run ATC
Output
Unit Costs
ECONOMIES AND
DISECONOMIES OF SCALE
Where extensive
economies of
scale exist
long-run ATC
Output
Unit Costs
ECONOMIES AND
DISECONOMIES OF SCALE
Where economies
of scale are
quickly exhausted
long-run ATC
Output
MINIMUM EFFICIENT SCALE
AND INDUSTRY STRUCTURE
Minimum Efficient Scale -
MES
Natural Monopoly
Applications &
Illustrations
•Rising Cost of Insurance
and Security
•Successful Start-Up Firms
•The Verson Stamping
Machine
economic (opportunity)
cost
explicit costs
implicit costs
normal profit
economic profit
short run
long run
total product (TP)
marginal product (MP)
average product (AP)
law of diminishing
returns
Copyright McGraw-Hill/Irwin, 2005
variable costs
total cost
average fixed cost
(AFC)
average variable cost
(AVC)
average total cost (ATC)
marginal cost (MC)
economies of scale
diseconomies of scale
constant returns to
scale
minimum efficient scale
BACK
END