If the marginal cost curve is below the average variable cost curve, then
A. average variable costs are decreasing.
B. average variable costs are increasing.
C. marginal cost must be decreasing.
D. average variable costs could either be increasing or decreasing.
Answer: A
You might also like to view...
Figure 19-2
In Figure 19-2, the derived demand curve is the line
A. ABCD. B. CDEF. C. DEF. D. ABCDEF.
Non-activists believe that the IS curve is
A) very flat and that real output is sometimes very sensitive to monetary policy in the short run. B) very steep and that real output is sometimes very sensitive to monetary policy in the short run. C) very flat and that real output is not sensitive to monetary policy in the short run. D) very steep.
Social Security benefits alone assure an adequate income for the elderly
Indicate whether the statement is true or false
Suppose a family purchases 10,000 gallons of water a year at 20 cents a gallon and one diamond ring at a price of $1,000. Can we conclude that the diamond ring provides more utility to the family than water? Explain
What will be an ideal response?