The law of diminishing marginal returns says that as the firm uses more of ________, with a given quantity of ________, the ________ product of the variable input eventually diminishes
A) a fixed input; variable inputs; marginal
B) all inputs; capital; average
C) a variable input; fixed inputs; average
D) a variable input; fixed inputs; marginal
D
You might also like to view...
The marginal factor cost for a monopsonist is:
a. equal to the market wage rate. b. above the market wage rate. c. below the market wage rate. d. affected by the fact that workers are less willing to work than under conditions of perfect competition. e. lower than the marginal revenue product of labor in equilibrium.
For a given increase in aggregate demand, the steeper the short-run aggregate supply curve: a. the larger the increase in investment expenditure. b. the smaller the increase in the price level
c. the smaller the increase in real GDP. d. the larger the increase in real GDP. e. the smaller the increase in real interest rate.
Assume a price floor is set above the equilibrium price. The result is a surplus
a. True b. False Indicate whether the statement is true or false
Consumer sovereignty means that consumers vote with their dollars in a market economy, which helps determine what is produced
a. True b. False Indicate whether the statement is true or false