Production possibilities curve analysis includes the idea of:

An insurance agent rents a building and has a three-year lease. An increase in the rent for the building increases the agent's

A) total cost and average variable cost. B) total variable cost and average variable cost. C) total fixed cost and total variable cost. D) total fixed cost and average fixed cost. E) total variable cost and total cost.

The law of demand

A) is only an assumption that cannot be tested. B) only applies to necessities, not luxuries. C) is consistent with human behavior in the world. D) does not apply to scarce goods.