Why are isoquants negatively sloped?
A) Along a single isoquant, the firm can substitute the use of one input for another while holding the total level of output constant.
B) Due to the effects of diseconomies of scale.
C) Because the farther the isoquant is from the origin, the higher the level of output.
D) Because price and quantity demanded are inversely related.
A
Economics
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A legally mandated minimum wage is an example of:
a. the invisible hand principle. b. a price floor. c. a price ceiling. d. a fringe benefit.
Economics
Firms that do not reach their minimum long run average cost must, to avoid continued losses, either adjust their scale or leave the industry
Indicate whether the statement is true or false
Economics