When the marginal product curve is above the average product curve, ________ as output increases
A) average product must decrease
B) average product must increase
C) marginal product must decrease
D) marginal product must increase
B
Economics
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If a firm accumulates unwanted inventories, then it
A) must hire more workers. B) will increase its production. C) has actual investment equal to its planned investment. D) will decrease its production. E) has actual investment that is less than its planned investment.
Economics
What typically happens to benefits as the amount of an activity is increased?
A) Total benefits remain constant. B) Marginal benefit increases. C) Marginal benefit remains constant. D) Marginal benefit decreases. E) The marginal benefit changes only if the marginal cost changes.
Economics