Production functions A and B result in the same average total costs of production. However, production function A is twice as capital intensive as production function B. In this case, all else constant:
A) marginal costs will be higher in A than they are in B.
B) marginal costs will be higher in B than they will in A.
C) because total costs are equal, marginal costs will be equal for the two production functions as well.
D) there is no way to say anything about the relative marginal costs of production in the two production functions without additional information.
B
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A "Just Say No" drug education policy that successfully educates consumers to reduce their demand for drugs will lower drug prices and reduce the quantity of drugs demanded
a. True b. False Indicate whether the statement is true or false
A point outside (to the right of) the production possibilities curve of a nation:
A. Is not attainable for this nation B. Is easily attainable for this nation C. Implies that there are unemployed resources in this nation D. Implies that this nation is using its resources fully