Refer to the diagrams. The solid lines are production possibilities curves; the dashed lines are trading possibilities curves. The data contained in the production possibilities curves are based on the assumption of:
A. imperfect substitutability of resources between beer and pizza production.
B. constant costs.
C. decreasing costs.
D. increasing costs.
B. constant costs.
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At macroeconomic equilibrium, total ________ equals total ________
A) consumption; production B) taxes; transfers C) investment; inventories D) spending; production
A firm produces 1000 units per week. It hires 10 full-time workers (40 hours/week each) at an hourly wage of $20 . Raw materials costs $5 per unit. Rent for the factory is $1,500 per week. What are the overall costs for the week?
a. total variable cost is $5,000 . total fixed cost is $1,500; total cost is $6,500 b. total variable cost is $13,000 . total fixed cost is $9,500; total cost is $22,500 c. total variable cost is $13,000 . total fixed cost is $1,500; total cost is $14,500 d. total variable cost is $5,000 . total fixed cost is $9,500; total cost is $14,500