Which of the following statements is equivalent to the law of diminishing marginal returns?
A. A stitch in time saves nine.
B. You can’t make an omelet without breaking eggs.
C. Too many cooks spoil the broth.
D. If you can’t stand the heat, get out of the kitchen.
Answer: C
You might also like to view...
If an average cost pricing rule is imposed on the natural monopoly shown in the figure above, then it will produce
A) 2 million units. B) 3 million units. C) 4 million units. D) 5 million units.
Suppose that a worker in Cornland can grow either 40 bushels of corn or 10 bushels of oats per year, and a worker in Oatland can grow either 5 bushels of corn or 50 bushels of oats per year. There are 20 workers in Cornland and 20 workers in Oatland. If the two countries do not trade, Cornland will produce and consume 400 bushels of corn and 100 bushels of oats, while Oatland will produce and
consume 60 bushels of corn and 400 bushels of oats. If each country made the decision to specialize in producing the good in which it has a comparative advantage, then the combined yearly output of the two countries would increase by a. 280 bushels of corn and 450 bushels of oats. b. 340 bushels of corn and 500 bushels of oats. c. 360 bushels of corn and 520 bushels of oats. d. 360 bushels of corn and 640 bushels of oats.
Which of the following statements about positive analysis is? correct?
A. Positive analysis is concerned with what ought to be. B. Positive analysis can be used to determine whether policies are good or bad. C. Positive analysis is concerned with what is. D. Positive analysis involves value judgments.
Marginal resource cost is:
A. The increase in variable costs resulting from producing one more unit of output B. The increase in fixed costs resulting from producing one more unit of output C. The same as the marginal cost of the product D. The same as the resource price when a firm is acquiring the resource in a purely competitive market