Biaya Produksi (Bagian 4) : Kurva Biaya Jangka Panjang vs Jangka Pendek

Kuliah Online Ekonomi

11 May 202009:52

Summary

TLDRIn this lecture, Teuku Warsito, a lecturer at PKN STAN, explains the differences between short-run and long-run cost curves in production theory. He discusses how capital remains fixed in the short run but can vary in the long run, impacting cost structures. The lecture covers expansion paths, optimal input combinations, and differences in cost efficiency between short and long-run production. It also explores economies and diseconomies of scale, where the firm's cost behavior changes with varying output levels, emphasizing the importance of flexibility in capital use for long-term efficiency.

Takeaways

📈 The focus of the discussion is comparing long-run and short-run cost curves in production.
🏭 In the short run, capital is fixed, while in the long run, both capital and labor are variable and can change.
🔄 The expansion path differs between the short run and long run due to the flexibility in changing capital and labor.
🚀 In the long run, the expansion path is a straight line from the origin, while in the short run, it's curved due to capital constraints.
🔧 Short-run constraints cause the company to adjust labor more aggressively when output increases, unlike in the long run where both labor and capital are adjusted proportionally.
💡 Companies have optimal capacities for producing goods, and smaller firms can be more efficient when output is low since capital is used optimally without excess.
📊 Long-run average total cost (ATC) curves are generally lower than short-run ATC curves due to the flexibility in adjusting capital in the long run.
🏢 Companies of different sizes (small, medium, large) have varying short-run ATC curves, but in the long run, firms can choose the most efficient curve based on output.
💰 Economies of scale occur when ATC decreases as output increases, while diseconomies of scale happen when ATC rises with higher output, often due to management or coordination issues.
📉 In the short run, when capital is fixed, costs increase more significantly as output grows, compared to the long run where adjustments in capital make production more efficient.

Q & A

What is the main difference between short-run and long-run cost curves?
-The main difference is that in the short run, capital (K) is fixed and cannot change, while in the long run, both capital (K) and labor (L) are variable, allowing more flexibility in cost adjustments.
Why does the short-run expansion path curve bend at certain points?
-The short-run expansion path bends because capital is fixed, so to increase production, the firm must increase labor, causing inefficiencies once a certain level of output is reached. This results in a horizontal stretch, reflecting diminishing returns to labor.
How does the long-run expansion path differ in shape compared to the short-run?
-The long-run expansion path is a straight line originating from the origin (0,0), indicating that both capital and labor can be adjusted optimally to maintain efficiency, unlike the bending short-run curve where capital is fixed.
What happens to the optimal input combination when production increases in the long run?
-In the long run, as production increases, the optimal input combination adjusts by increasing both capital (K) and labor (L) proportionally, ensuring efficiency at higher output levels.
Why is long-run average total cost (ATC) lower than short-run ATC?
-Long-run ATC is lower because firms can adjust all inputs, including capital, allowing them to operate at an optimal scale and avoid inefficiencies present in the short run due to fixed inputs.
What is meant by 'economies of scale' in the context of long-run costs?
-Economies of scale occur when the firm's average cost decreases as output increases, due to factors like input specialization, bulk purchasing discounts, and efficient management.
What are constant returns to scale, and when do they occur?
-Constant returns to scale occur when the average cost remains unchanged as output increases. This happens when the firm is able to increase input proportionally to output without gaining or losing efficiency.
What causes diseconomies of scale?
-Diseconomies of scale arise when increasing output leads to higher average costs. This can happen due to factors like management complexity, inefficiencies in large-scale operations, and limits to input specialization.
What is cost-output elasticity, and how is it calculated?
-Cost-output elasticity is the ratio of the percentage change in total cost to the percentage change in output. It helps measure how responsive costs are to changes in production levels.
When do diseconomies of scale become apparent on a long-run cost curve?
-Diseconomies of scale become evident when the long-run ATC curve starts to rise, indicating that increasing output leads to higher per-unit costs due to inefficiencies in managing larger operations.

Outlines

00:00

📊 Differences Between Long-Run and Short-Run Cost Curves

In this segment, the instructor discusses the key differences between long-run and short-run cost curves. The short-run cost curve assumes that capital remains fixed, whereas, in the long run, both capital and labor are considered variable inputs. This difference causes the shapes of the cost curves to vary. In the long run, the expansion path is a straight line from the origin, while the short-run expansion path starts from a fixed point for capital, resulting in a curved shape. This curvature exists because in the short run, the optimal input combination changes due to the fixed capital.

05:01

🏭 Flexibility of Production in Long-Run and Short-Run

The second part elaborates on how firms can adjust their capital usage in the long run, making production more flexible and efficient. Small, medium, and large firms have different short-run average total cost (ATC) curves based on their capital sizes. In the long run, firms can choose the most efficient ATC, reducing overall costs by adjusting capital. The long-run ATC curve lies below the short-run ATC curves because firms can alter their production capacities, making them more efficient.

Mindmap

Keywords

💡Short-Run

The short-run refers to a period in which certain factors of production, such as capital, are fixed and cannot be adjusted. In the video, the short-run is characterized by a fixed capital (K), meaning that output changes are primarily driven by changes in other inputs, like labor. For example, to increase production from Q1 to Q2, the firm must increase labor usage, but cannot adjust its capital stock.

💡Long-Run

The long-run refers to a period in which all factors of production, including capital and labor, are variable. This allows firms to adjust their input combinations to achieve optimal production at various output levels. In the video, the long-run is contrasted with the short-run, where both capital and labor can be adjusted, leading to a different cost structure and lower average total cost (ATC).

💡Expansion Path

An expansion path represents the combination of inputs (capital and labor) that a firm will use to minimize costs while expanding production. In the video, the short-run expansion path is depicted as a curved line because capital is fixed, while the long-run expansion path is a straight line, indicating more flexibility in input choices.

💡Economies of Scale

Economies of scale occur when a firm's average costs decrease as output increases. In the video, it is explained that economies of scale are achieved when production is low, allowing for specialization and more efficient management. This is reflected in the downward-sloping portion of the long-run ATC curve.

💡Diseconomies of Scale

Diseconomies of scale occur when a firm's average costs increase as output increases. This is typically due to inefficiencies in management or coordination when a firm becomes too large. The video discusses how diseconomies of scale occur at high levels of output, where issues such as management complexity and ineffective coordination arise, leading to higher costs.

💡Average Total Cost (ATC)

Average total cost (ATC) is the total cost of production divided by the quantity of output produced. In the video, the ATC is a key concept for comparing short-run and long-run cost structures. The short-run ATC curves are higher due to the fixed nature of capital, while the long-run ATC curve is lower because firms can adjust their capital to minimize costs.

💡Marginal Cost (MC)

Marginal cost (MC) is the additional cost incurred by producing one more unit of output. In the video, marginal cost is discussed in relation to output elasticity, particularly in how it affects economies and diseconomies of scale. When MC is less than ATC, the firm is experiencing economies of scale, and when MC exceeds ATC, diseconomies of scale are present.

💡Output Elasticity

Output elasticity measures the responsiveness of total cost to changes in output. In the video, this concept is used to explain how costs change as a firm increases production. For instance, when output elasticity is less than 1, the firm experiences economies of scale, while an elasticity greater than 1 indicates diseconomies of scale.

💡Fixed Capital

Fixed capital refers to the capital that cannot be adjusted in the short-run. In the video, this concept is crucial to understanding the difference between short-run and long-run cost structures. In the short-run, capital is fixed, so firms must rely on adjusting labor to change production levels, leading to higher costs as labor becomes over-utilized.

💡Specialization

Specialization refers to the process of concentrating production on tasks or products that a firm is particularly efficient at producing. In the video, specialization is highlighted as one of the reasons for economies of scale, as it allows firms to lower costs by making better use of labor and capital, especially when output is still low.

Highlights

Introduction to comparing long-run and short-run cost curves, specifically expansion paths.

In the short run, capital is fixed, while in the long run, both capital and labor are variable, influencing cost behavior.

Short-run expansion path curves are bent due to capital constraints, while long-run expansion paths are straight.

Optimal input combinations differ between short-run and long-run as production levels increase.

At a higher production level in the long-run, both capital and labor increase, while in the short-run, labor increases more as capital is fixed.

Short-run average total cost (ATC) curves differ based on company size: small, medium, or large firms have different cost curves.

Long-run ATC curves allow firms to choose the most efficient size, leading to lower average costs compared to short-run ATC.

The shape of the long-run ATC curve can be broken into three phases: economies of scale, constant returns to scale, and diseconomies of scale.

Economies of scale occur when ATC decreases as production increases, due to specialization and bulk purchasing of inputs.

Constant returns to scale occur when ATC remains the same as production increases.

Diseconomies of scale arise when ATC increases due to management and coordination issues in larger firms.

Economies of scale are driven by factors such as specialization, effective management, and lower input costs through bulk purchasing.

Diseconomies of scale occur when management becomes complex and discounts on inputs are no longer possible.

Cost-output elasticity is explained as the ratio of cost change to output change, where economies of scale occur when marginal cost (MC) is less than average cost (AC).

Diseconomies of scale occur when cost-output elasticity is greater than one, with MC exceeding AC, leading to inefficiencies at high output levels.