Refer to the provided graph. At which point does marginal product (MP) equal average product (AP) at a specific level of output?
A) point B
B) point D
C) point A
D) point C
Answer: A) point B
You might also like to view...
Money market mutual funds sell shares to investors and use the money to buy
A) overseas assets through foreign direct investment. B) short-term securities. C) foreign currency. D) mortgage-backed securities.
An industry is a natural monopoly when (i) the government assists the firm in maintaining the monopoly. (ii) a single firm owns a key resource. (iii) a single firm can supply a good or service to an entire market at a smaller cost than could two or more firms
a. (ii) only b. (iii) only c. (i) and (ii) only d. (ii) and (iii) only
How might a restaurant manager use the concept of diminishing marginal utility to increase sales to her regular dinner customers?
a. She could expand the variety of options available at each price point on the dinner menu. b. She could increase portion size without raising the price of the dinner menu items. c. She could offer premium versions of dinner menu items to make the regular items seem more affordable. d. She could offer a discount on dessert only to people who order dinner.
A craft union attempts to increase wage rates by:
A. equating the MRP and the MRC curves. B. shifting the labor supply curve to the left. C. shifting the labor supply curve to the right. D. shifting the MRP curve to the right.