As long as output increases
A. average total costs decrease.
B. average fixed costs decrease.
C. average variable costs decrease.
D. marginal costs decrease.
Answer: B
You might also like to view...
Moving along the aggregate production function shows the relationship between ________, holding all else constant
A) capital input and real GDP B) labor input and real GDP C) labor input, capital input and real GDP D) technology and real GDP
As entrepreneurs find new market niches and help specific industries grow, other industries will
(a) grow proportionately. (b) grow disproportionately. (c) fail. (d) grow disproportionately and fail.
An economy in a downward phase of the business cycle will, according to internal cycle theory,
a. continue on its downward path unless the government intervenes b. continue on its downward path unless technological innovation occurs c. continue on its downward path unless consumption spending increases d. eventually recover because capital stock wears out and needs replacement e. eventually recover because saving rates fall
At $6 per steak, consumers are willing to buy two steaks. At a price of $2, consumers are willing to buy six steaks. The elasticity of the market demand curve between P = $6 and P = $2 (dropping all minus signs) is
a. 0.33. b. 1. c. 2. d. 4.