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As appears possible to give scientific interpretation to statements about that,

That the firm becomes more or less, the firm becomes more, when Additional transaction (which could be exchange transaction,

Co-ordinated through the mechanism of the prices) will be organised by the businessman, and it

Becomes it is less, when he refuses the organisation of such transaction.

There is a question, whether studying of forces which define the size of firm is possible?

Why the businessman not undertakes to organise on one transaction more or It is less? Knight believes that "the relation between efficiency and the size is one of The most serious problems of the theory, as, unlike the same problem for Factory, depends, mostly, on the person and historical accidents, instead of

From clearly distinguishable general principles. But this question vital, because

The prospect of exclusive incomes creates powerful stimulus for the continuous

And unlimited expansion of firms, and they should be counterbalanced others,

Manufacture of the monetary income) with growth of the sizes, that at least the rests

Competition were saved "Political Science, Preface to the Reissue, London: London School of Economics, Profit, 1933, Knight Frank it, Risk and Uncertainty.

It seems that Knight considered impossible scientific understanding of the reasons defining

The sizes of firm. On the basis of the firm developed above the concept we will try now

To solve this problem. It was supposed that occurrence of firms had a principal cause existence Market costs. There is quite pertinent question (not reduced to The stated Knight to reasons about monopoly). If with firm occurrence Certain costs disappear and, actually, costs are reduced Manufactures why market transaction in general are saved? than freedom in choosing loss., Some Market costs can be eliminated, only if to deprive of the consumer

Choice possibilities; such are costs of retail trade. It is possible for itself

To present that these costs will appear so high that people will prefer

It will appear more valuably why all manufacture not

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