Recall the Application on Economic Detective and the Case of Margarine

question 36

Multiple Choice

Recall the application on economic detective and the case of margarine prices,the margarine industry is an example of a constant-cost industry because as the total output of the industry changes the price of the key inputs to the production of margarine don't change as a result:

• A)the demand decreases by the same amount.
• B)the supply increases by the same amount.
• C)the unit of cost is unaffected by changes in total output.
• D)the unit of cost is affected by changes in total output.

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The advantage obtained by countries, entities, or individuals from engaging in voluntary trade, due to the specialization and efficient allocation of resources.

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