Legal Dictionary of Pakistan

long-run incremental cost

Antitrust. A cost threshold for determining whether predatory pricing has occurred, consisting of all costs that, over a several-year period, would not be incurred if the product in question were not offered. ( It differs from average variable cost because it includes some costs that do not vary in the short run but that do vary over a longer period, depending on whether a particular product is offered. - Abbr. LRIC. Cf. AVERAGE VARIABLE COST.