Meaning of marginal revenue in English:

marginal revenue


mass nounEconomics
  • The revenue gained by producing one additional unit of a product or service.

    ‘the marginal revenue of carrying an individual passenger far exceeded marginal cost’
    • ‘In a commodity system such as the beef industry, the unit price of the output is equivalent to marginal revenue.’
    • ‘If marginal cost falls, a profit-maximizing firm will expand output, so that marginal revenue falls as well.’
    • ‘He was the sole price setter, free to set marginal revenue equal to marginal cost, and free to set price far above marginal cost.’
    • ‘The marginal revenue from lowering the price to grab additional Canadian customers would quickly be more than cancelled by the lost revenue due to Americans paying lower prices.’
    • ‘The opposite extreme in a market is monopoly, where one firm maximizes profits by exploiting the marginal revenue derived from demand.’