Multiple Choice
If the quantity of output rises as more of a variable input is added to a fixed input,
A) the law of diminishing marginal returns does not hold.
B) total fixed cost must be declining.
C) marginal cost must be constant.
D) marginal physical product of the variable input is necessarily rising.
E) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
Q197: Exhibit 21-13<br><br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6992/.jpg" alt="Exhibit 21-13
Q198: If a firm is earning an economic
Q199: An unrecoverable cost that should be disregarded
Q200: In the long run, only variable costs
Q201: At 1,000 units of output, total cost
Q203: The marginal physical product (MPP) of a
Q204: As a firm produces more units of
Q205: Exhibit 21-8<br><br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6992/.jpg" alt="Exhibit 21-8
Q206: Exhibit 21-14<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6992/.jpg" alt="Exhibit 21-14
Q207: The law of diminishing marginal returns holds