If a Graph Shows a Negative Relationship Between Two Variables

question 5

Multiple Choice

If a graph shows a negative relationship between two variables which then becomes a positive relationship, this curve would

• A) always be an upward- sloping line.
• B) have a minimum point.
• C) always be a downward- sloping line.
• D) have a maximum point.

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Definitions:

Industry Supply Curve

A graphical representation showing the total quantity of a good that all producers in an industry are willing to supply at different prices.

Decline in Technology

A decline in technology refers to a period or situation where technological progression slows down, technologies become obsolete, or there is a decrease in the adoption of new technologies.

Economies of Scale

The cost advantages that enterprises obtain due to their scale of operation, resulting in a decreased cost per unit.

Positive Economic Profits

Earnings that exceed the total opportunity costs of all inputs, indicating a return above the normal profit level.