Reference no: EM132479756

Question: In this unit we learned to apply opportunity cost and marginal analysis in the economic decision making and the development of strategic business plans, evaluate the role of self-interest in the market economy and the global economy, use demand, supply, and equilibrium curves to predict price and quantity, and apply supply and demand concepts to evaluate ethical issues in economics. Let's extend the discussion by examining the practical implications of these concepts. Please relate the law of diminishing returns to a firm's short-run production costs.