Re:Hollywood as We Know It Is Over
by psyc on Monday January 30, 2017 @12:14PM
(#13522983)
What if the producer does something totally insane, and keeps producing, because someone there likes doing it?
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I would interpret that economically in the following way: the cost to that particular producer is lower than other producers because their time spent producing is partly leisure if they enjoy it. To the extent that they have a lower relative cost of production than others then it's their comparative advantage to be in that business and they will turn a nice hefty profit (economic profit that includes how much they enjoy their work, not necessarily an accounting profit).