Question 1

What is a production function?

Accepted Answer

Production is a process that transforms

Question 2

Average variable cost equals

Accepted Answer

A) TC/Q. 
B) TVC/Q. 
C) TFC/Q. 
D) change in total cost/change in output. 
A) TC/Q. 
B) TVC/Q. 
C) TFC/Q. 
D) change in total cost/change in output.

Question 3

Which of the following statements is FALSE?

Accepted Answer

A) Included in the firm's short-run production function are both fixed and variable inputs. 
B) An efficient firm can obtain more output than the production function shows. 
C) The production function shows the technical relationship between a firm's inputs and outputs. 
D) The production function presents the technically efficient methods of combining inputs to produce output. 
A) Included in the firm's short-run production function are both fixed and variable inputs. 
B) An efficient firm can obtain more output than the production function shows. 
C) The production function shows the technical relationship between a firm's inputs and outputs. 
D) The production function presents the technically efficient methods of combining inputs to produce output.

Question 4

The time frame in which all factors of production can vary is

Accepted Answer

A) the short run. 
B) the intermediate run. 
C) the long run. 
D) indeterminate. 
A) the short run. 
B) the intermediate run. 
C) the long run. 
D) indeterminate.

Question 5

In economics, the planning horizon is defined as

Accepted Answer

A) 10 years for every firm. 
B) the longest time period over which the firm can make decisions. 
C) the period of time for which technology is fixed. 
D) the long run, during which all inputs are variable. 
A) 10 years for every firm. 
B) the longest time period over which the firm can make decisions. 
C) the period of time for which technology is fixed. 
D) the long run, during which all inputs are variable.

Question 6

Marginal cost equals

Accepted Answer

A) TC/Q. 
B) TVC/Q. 
C) TFC/Q. 
D) change in total cost/change in output. 
A) TC/Q. 
B) TVC/Q. 
C) TFC/Q. 
D) change in total cost/change in output.

Question 7

In the above table, the marginal cost of the seventh unit is

Accepted Answer

A) $4.00. 
B) $5.00. 
C) $3.00. 
D) $33.00. 
A) $4.00. 
B) $5.00. 
C) $3.00. 
D) $33.00.

What is a production function?

Average variable cost equals

Which of the following statements is FALSE?

The time frame in which all factors of production can vary is

In economics, the planning horizon is defined as

Marginal cost equals

In the above table, the marginal cost of the seventh unit is

The Nature of Economics

Scarcity and the World of Trade-Offs

Demand and Supply

Extensions of Demand and Supply Analysis

Public Spending and Public Choice

Funding the Public Sector

Demand and Supply Elasticity

Consumer Choice

Rents, Profits, and the Financial Environment of Business

Perfect Competition

Monopoly

Monopolistic Competition

Oligopoly and Strategic Behavior

Regulation and Antitrust Policy in a Globalized Economy

The Labor Market: Demand, Supply and Outsourcing

Unions and Labor Market Monopoly Power

Income, Poverty, and Health Care

Environmental Economics

Comparative Advantage and the Open Economy

Exchange Rates and the Balance of Payments

Filters

Exam 22: The Firm: Cost and Output Determination

What is a production function?

Average variable cost equals

Which of the following statements is FALSE?

The time frame in which all factors of production can vary is

In economics, the planning horizon is defined as

Marginal cost equals

In the above table, the marginal cost of the seventh unit is

The Nature of Economics

Scarcity and the World of Trade-Offs

Demand and Supply

Extensions of Demand and Supply Analysis

Public Spending and Public Choice

Funding the Public Sector

Demand and Supply Elasticity

Consumer Choice

Rents, Profits, and the Financial Environment of Business

Perfect Competition

Monopoly

Monopolistic Competition

Oligopoly and Strategic Behavior

Regulation and Antitrust Policy in a Globalized Economy

The Labor Market: Demand, Supply and Outsourcing

Unions and Labor Market Monopoly Power

Income, Poverty, and Health Care

Environmental Economics

Comparative Advantage and the Open Economy

Exchange Rates and the Balance of Payments

Filters