As output increases, marginal cost will eventually
A) increase because of the law of increasing returns.
B) increase because of the law of diminishing returns.
C) decrease because of the law of diminishing returns.
D) decrease because of the law of increasing returns.
B
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Figure 29-1
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In Figure 29-1, which panel shows the effect of a recession on the interest rate?
A. Panel (A) B. Panel (B) C. Panel (C) D. Panel (D)
Show how a monopolist maximizes its profit. Explain your graph.
What will be an ideal response?
Marginal revenue product is defined as the extra:
a. output a firm would receive after hiring one more unit of resource. b. cost of hiring one more unit of resource c. revenue earned by selling one more unit of product. d. revenue earned by hiring one more unit of resource e. output received by spending one more dollar on resources
The "Asian miracle" refers to the:
A. success countries like Japan, South Korea, and Taiwan have had with export-led growth policy. B. success countries like Japan, South Korea, and Taiwan have had with import substitution policy. C. fact that countries like Japan and South Korea have had consistent growth despite their failing industrial policies. D. high growth in countries like Japan and South Korea despite the absence of a democratic government.