For a given seller, the figure below shows the relationship between the number of units produced and the opportunity cost of producing an additional unit of output. What is this seller's reservation price for the 250th unit?
A. $2
B. $8
C. $4
D. $14
Answer: C
Economics
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When companies reduce their inventories
A. the amount of the change gets subtracted from the GDP. B. the amount of the change has no effect on the GDP. C. net exports go up. D. the amount of the change gets added to the GDP.
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When interest rates are lower, consumers and companies are able to borrow money more cheaply in order to make major purchases. As a result, the demand for goods in an economy will generally:
A. decrease. B. increase. C. remain the same. D. be minimally affected.
Economics