At all levels of production higher than the point where the marginal cost curve crosses the average variable cost curve, average variable cost
a. rises.
b. remains unaffected.
c. falls.
d. All of the above are possible depending on the shape of the marginal cost curve.
a
Economics
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Define the quantity theory of money and show how it is related to the equation of exchange
What will be an ideal response?
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Which of the following is NOT true of the interest rate channel?
A) Bank loans play no special role. B) The Fed changes the real interest rate which affects the components of aggregate expenditures. C) Borrowers are indifferent as to how and from whom they raise funds. D) Alternative sources of funds are not substitutes for each other.
Economics