The ________ part of a perfectly competitive firm's marginal cost curve that is equal to or above points on its average variable cost curve is the firm's short-run supply curve.
A. horizontal
B. declining
C. backward bending
D. rising
Answer: D
You might also like to view...
Suppose labor is a variable input and capital is a fixed input, and consider a firm's short-run average, average variable, and marginal cost curves.
(i) What geometric relationships hold among these three curves? (ii) How would these curves be affected by an increase in the wage rate paid to labor? (iii) How would these three curves be affected by an increase in the rental rate paid to capital?
Alex received a four-year scholarship to State U. that covered tuition and fees, room and board, and books and supplies. If Alex becomes a full-time student, then:
A. the opportunity cost of attending State U. includes the sum of the benefits Alex would have had from attending each of the other schools to which he was admitted. B. Alex has no incentive to study hard while at State U. C. the opportunity cost of attending State U. includes the money Alex could have earned working for four years. D. attending State U. for four years is costless for Alex.
The financing of U.S. export transactions, ceteris paribus
A) reduces U.S. interest rates. B) reduces the amount of foreign currency held by the Fed. C) reduces U.S. GDP. D) increases the amount of foreign currency held by U.S. banks.
What is creative destruction? Define political creative destruction
What will be an ideal response?