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Profit & Loss

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To get a firm grasp on profit, and its counterpart, loss, you might want to consider the Biblical quotation, 'What does it profit a man if he gain the whole world but lose his soul?' For an economist, the correct way to answer this question would be to calculate the revenues received from gaining the whole world and subtract the costs incurred by losing one's soul. If the difference (known as 'the bottom line') is a positive number, you have a profit.

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