"Marginal cost is the increase in total cost that results from a one-unit increase in a variable input." True or false? Explain
Indicate whether the statement is true or false
False. Marginal cost is the increase in total cost that results from a one-unit increase in output, not a one unit increase in an input.
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Refer to the table above. The opportunity cost per dollar of value added in designing shoes by workers in Laborland is ________
A) $0.25 B) $0.50 C) $2 D) $4
Of the four effects on interest rates from an increase in the money supply, the initial effect is, generally, the
A) income effect. B) liquidity effect. C) price level effect. D) expected inflation effect.
The typical test applied for merger approval under U.S. antitrust law requires that:
A. quantities produced not fall. B. prices not rise. C. aggregate surplus not fall. D. the merger not be horizontal in nature.
An efficiency-wage premium serves the same function as a bond because, just as with a bond, the premium represents
A) the amount the employee loses if caught shirking. B) the expected value of the amount the employee loses if he shirks. C) the cost of monitoring the employee. D) the gain to the employee if he shirks.