How does marginal cost change as output increases (a) initially and (b) eventually?
What will be an ideal response?
At small outputs, marginal cost decreases as output increases because of greater specialization and the division of labor, but as output increases further, marginal cost eventually increases because of the law of diminishing returns.
Economics
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A) the same as the quantity of for U.S. dollars demanded. B) negatively related to the exchange rate. C) fixed at any given exchange rate. D) unrelated to the exchange rate. E) positively related to the exchange rate.
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