A firm's average fixed cost curve is:
a. U-shaped

b. a curve that increases as output expands.
c. a vertical line.
d. a curve that declines as output expands and approaches the X-axis when output is very large.

d

Economics

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Without changes in MC to maximize profits, the firm will produce at point ________ on the new demand curve and lower price to ________

A) E1; P1 B) E0; P0 C) E2; P2 D) E0 or E1; P0

Economics

Which of the following statements best describes balanced budget amendments?

a. A balanced budget amendment allows small, temporary deficits that might, in some cases, be necessary. b. A balanced budget amendment prevents even small, temporary deficits that might, in some cases, be necessary. c. A balanced budget amendment allows large, temporary deficits that might, in some cases, be necessary. d. A balanced budget amendment prevents large, temporary deficits that might, in some cases, be necessary.

Economics