In a short-run production process, the marginal cost is rising and the average total cost is falling as output is increased. Thus, marginal cost is
A) below average total cost.
B) above average total cost.
C) between the average variable and average total cost curves.
D) below average fixed cost.
A
Economics
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Markets will always allocate resources efficiently
a. True b. False Indicate whether the statement is true or false
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In the long run, when marginal cost is above average total cost, the average total cost curve exhibits
a. economies of scale. b. diseconomies of scale. c. constant returns to scale. d. efficient scale.
Economics