Assume both the marginal cost and the average variable cost curves are U-shaped. At the minimum point on the AVC curve, marginal cost must be:
a. greater than the average variable cost.
b. less than the average variable cost

The change in the quantity of goods and services that an hour's work can buy is measured by the

A) nominal wage. B) real wage. C) CPI. D) real interest rate. E) inflation rate.

Which of the following would cause an increase in the supply of cheese?

A) an increase the price of a product that producers sell instead of cheese B) an increase in the price of cheese C) a decrease in the price of wine (assuming that cheese and wine are complements) D) an increase in the number of firms that produce cheese