Exhibit 6-9 Cost schedule for firm X
OutputQuantity
Total FixedCost
Total VariableCost
0
$100
$    0
1
  100
    50
2
  100
    84
3
  100
  108
4
  100
  127
5
  100
  150
As shown in Exhibit 6-9, the average total cost of producing 5 units is:

Which of the following is an assumption made while constructing a production possibilities frontier [PPF]?

a. Dynamic technological know-how b. Flexible resource quality c. Fixed resource quantity d. Full and efficient use of resources e. Flexible money supply

A dramatic increase in the birth rate will have what immediate effect on the disposable diaper market?

a. supply decreases now b. supply increases now c. demand decreases now d. demand increases now e. supply and demand stay the same now