A firm's average costs will be falling whenever its:
a. marginal costs are positive.
b. marginal costs are negative.
c. marginal costs are less than average costs.
d. marginal costs are less than fixed costs.
Ans: c. marginal costs are less than average costs.
You might also like to view...
If the graph shown is displaying a competitive labor market:
A. D would represent the workers' demand for jobs at each wage.
B. Q* would represent the equilibrium wage.
C. P* would represent how many people are employed in the market.
D. Q* would represent the equilibrium number of workers in the market.
The "invisible hand" refers to
a. how central planners made economic decisions. b. how the decisions of households and firms lead to desirable market outcomes. c. the control that large firms have over the economy. d. government regulations without which the economy would be less efficient.
When a group of workers finds that their job skills and work experience have become obsolete and are not needed by industry, this type of unemployment is:
A. structural. B. cyclical. C. search. D. frictional.
Nearly $2 trillion was added to the national debt between 1983 and 1992.
Answer the following statement true (T) or false (F)