In the derivation of TVC, you
A. subtract the amount of the vertical intercept of the TC down from the TC at each quantity.
B. move the TC to the right a fixed distance.
C. the minimum-slope ray out of the origin to the TC.
D. the vertical intercept of the TC and draw a horizontal line.
Answer: A
You might also like to view...
If production displays economies of scale, the long-run average cost curve is
A) downward sloping. B) below the long-run marginal cost curve. C) upward sloping. D) above the short-run average total cost curve.
Which of the following factors is most likely to cause the aggregate demand curve to shift rightward?
a. An increase in savings b. An increase in household wealth c. An increase in tax rates d. A decrease in government spending
If John's marginal benefit derived from the consumption of another candy bar is greater than the price of the candy bar:
A. John will not purchase any more candy bars. B. John will increase his total satisfaction by purchasing the candy bar. C. the opportunity cost of the candy bar is lower than the price. D. John will decrease his total utility if he purchases the candy bar.
The cyclically adjusted budget deficit or surplus measures what the deficit or surplus would be if the economy was
A) in a recession. B) in an expansion. C) at potential GDP. D) at potential tax revenue.