Suppose that when output is 20, marginal cost is $20, and average total cost is $30 . Then which of the following is most likely to be true?
a. Average total cost is declining.
b. Average total cost is constant.
c. Average total cost is rising.
d. Average total cost is less than average fixed cost.
a
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Demand-pull inflation is
A) inflation caused by increases in aggregate demand that generate an even larger increase in aggregate supply. B) inflation caused by increases in aggregate demand that are not matched by increases in aggregate supply. C) inflation caused by reductions in short-run aggregate supply. D) inflation caused by reductions in long-run aggregate supply.
With panel data, the causal effect
A) cannot be estimated since correlation does not imply causation. B) is typically estimated using the probit regression model. C) can be estimated using the "differences-in-differences" estimator. D) can be estimated by looking at the difference between the treatment and the control group after the treatment has taken place.