In a decreasing-cost industry, an increase in output will lead to
A) an upward shift in the ATC curve.
B) an upward shift in the MC curve.
C) a reduction in long-run per-unit costs.
D) an increase in long-run per-unit costs.
Answer: C
You might also like to view...
The total product curve shows the relationship between total product and
A) cost. B) the quantity of labor. C) the average product. D) the marginal product. E) the marginal cost.
Members of Congress are able to influence monetary policy, albeit indirectly, through their ability to
A) withhold appropriations from the Board of Governors. B) withhold appropriations from the Federal Open Market Committee. C) propose legislation that would force the Fed to submit budget requests to Congress, as must other government agencies. D) instruct the General Accounting Office to audit the foreign exchange market functions of the Federal Reserve.