Outputs and cost-diminishing marginal returns

Assignment Help Business Economics

Reference no: EM13898730

Outputs and Cost; Diminishing Marginal Returns

According to the law of diminishing marginal returns, which of the following is true?

A. Marginal cost eventually decreases as more and more of a variable input is increased

B. Marginal cost eventually decreases at a diminishing rate as more and more of a variable input increased

C. Marginal cost eventually increases as more and more of a variable input is increased

D. Marginal product eventually increases at a constant rate as more of a variable input is increased

E. Marginal product eventually increases at a diminishing rate as more and more of a variable input is increased

Reference no: EM13898730

Questions Cloud

Vertical axis and the output on the horizontal axis : Graph the estimate of the AD and AS curves clearly showing the equilibrium point indicating the price on the vertical axis and the output on the horizontal axis.

Total output or real gdp will be : Assume that an economy has 1500 workers, each working 2000 hours per year. If the average real output per worker-hour is $20, then total output or real gdp will be?

Outputs and costs-average and marginal product of labor : Which of the following statements about the relationship between average product of labor (APL) and marginal product of labor (MPL) is correct?

What internal and external relationships must be considered : What are appropriate communication methods for managers within this organization and What is the importance of these communication methods within this organizational structure?

Outputs and cost-diminishing marginal returns : According to the law of diminishing marginal returns, which of the following is true?

Cost is increasing quantity of output produced increase : In the short run, if average variable cost is increasing as the quantity of output produced increases, which of the following must be true?

What are the steps in the planning process : How will you meet the organizational goals, while remembering to act ethical and in a manner that will meet the organizational goals. What are the steps in the planning process? Which step is the most crucial? Why

Derive the first-order conditions for an expenditure minimum : A consumer wants to minimize her expenditures, E= PxX + PyY, subject to maintaining a given level of utility, \bar{U} = xy. form the Lagrangian for this problem, derive the first-order conditions for an expenditure minimum, and solve those conditions..

Suppose consumer maximizes the utility function : Suppose a consumer maximizes the utility function U=ln(xy) subject to the budget constraint 4x + 2y = 12. Find the consumption bundle (x*,y*) that maximizes utility for the consumer.

User Account

All Pages