Refer to the graph shown of average costs for a typical firm. The lowest per-unit costs for the industry could be achieved if:

A. one firm produced 1,000 units of output.
B. one firm produced 333 units of output.
C. three firms each produced 333 units of output.
D. two firms each produced 500 units of output.


Answer: A

Economics

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Why does the production possibilities frontier have a bowed out shape rather than being a straight line?

What will be an ideal response?

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Which of the following is likely to have the smallest price elasticity of demand?

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For people who live near a bus route, a subway station, or a commuter rail line, public transportation provides a substitute to driving their own cars

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