At the point where diminishing marginal returns of an input sets in, the:
A. Average product starts to decrease
B. Marginal product starts to decrease
C. Total product starts to decrease
D. Average product exceeds the marginal product
B. Marginal product starts to decrease
You might also like to view...
A person's real income will increase by 3% if her nominal income increases by
A. 5% while the price index falls by 2%. B. 5% while the price index rises by 2%. C. 2% while the price index falls by 5%. D. 2% while the price index rises by 5%.
Explain why the real interest rate is the opportunity cost of loanable funds
What will be an ideal response?
All else equal, the ________ the pool of buyers who can be fooled once by false advertising, the ________ profitable it is to falsely advertise.
A) larger; less B) smaller; more C) larger; more D) greater; least
Which of the following best describes an outcome of a stronger exchange rate?
a. A stronger exchange rate makes it easier for exporters to sell their goods abroad while making imports cheaper, so a trade deficit (or a reduced trade surplus) results. b. A stronger exchange rate makes it easier for exporters to sell their goods abroad while making imports cheaper, so a trade surplus (or a reduced trade deficit) results. c. A stronger exchange rate makes it more difficult for exporters to sell their goods abroad while making imports cheaper, so a trade deficit (or a reduced trade surplus) results. d. A stronger exchange rate makes it more difficult for exporters to sell their goods abroad while making imports cheaper, so a trade surplus (or a reduced trade deficit) results.