The Best Explanation for the Shape of a Short Run

question 262

Multiple Choice

The best explanation for the shape of a short run marginal cost schedule is

• A) increasing returns to scale.
• B) decreasing returns to scale.
• C) there is no fixed factor of production.
• D) a fixed factor causes diminishing returns to other factors.

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Definitions:

Neuron Cell Bodies

The part of a neuron (nerve cell) that contains the cell nucleus and other organelles, serving as the processing unit of the neuron.

Ganglia

Structures made up of a cluster of neurons in the peripheral nervous system, functioning in transmitting nerve signals.

Voltage Fluctuations

Variations in the electrical potential difference which can lead to unstable power supply and possibly damage electronic devices.

Electroencephalograph (EEG)

A medical instrument that records the electrical activity of the brain, often used in the diagnosis of epilepsy and other brain disorders.