Profit is the wealth that one or the various parties involved obtain as a product of a transaction or economic process.
The gain is also known as economic benefit and implies the economic remainder from which an actor benefits as a result of carrying out a financial operation. Simply put, it is the ratio of total revenue minus total costs of production, distribution and marketing of, for example, a particular product or service.
Another way of talking about wealth, profit or economic benefit is to calculate the relationship between the product or good resulting from the production process and the inputs that were used to achieve it. Calculating earnings is an operation through which the creation of wealth by the individual or institution can be established. If the relationship between output and inputs is positive (the value of what is created is higher than what is used), it is said that wealth is created. On the other hand, if the relationship is negative (the value of the products is lower than that of the inputs used), it is said that wealth is destroyed or losses are generated.
The types of benefits or gains can be normal, supernormal, subnormal, advertising economic and of various kinds.
In any of the cases and in a free economy system such as capitalism or the neoliberal model, it is proposed that the more is invested in an operation for the production of goods, the more money or profits are obtained for the investor. This is the model that has prevailed for most of the 20th century and that, according to theorists, threatens the long-term sustainability of the planet, since the purpose of always obtaining greater profits also implies the investment of greater inputs and resources, in non-renewable occasions for nature. In addition, many blame the neoliberal model for the imbalance between the world's poorest sectors and those who have become richer.
