When a production possibilities frontier is bowed outward, the opportunity cost of one good in terms of the other depends on how much of each good is being produced

The "law" of diminishing marginal utility implies that the

A) total utility is constant as more units are consumed. B) last unit of a good consumed will contribute most to the consumer's satisfaction. C) marginal utility of a good diminishes over time. D) first unit of a good consumed will contribute most to the consumer's satisfaction. E) total utility is negative.

Which of the following best applies to the distinction between the "long run" and the "short run"?

A) The short run is a period of approximately 1-6 months while the long run is any time frame which is longer. B) In the short run, only new firms may enter, while in the long-run firms may either enter or exit the market. C) The rationing function of price is a short-run phenomenon whereas the guiding function is a long-run phenomenon. D) All of the above statements are correct.