If Product Demand Increases and Product Price Increases

question 75

Multiple Choice

If product demand increases and product price increases

• A) the marginal revenue product curve will shift to the right.
• B) the marginal revenue product curve will shift to the left.
• C) the firm will move up the marginal revenue product curve and hire fewer units of the input.
• D) the firm will move down the marginal revenue product curve and hire more units of the input.

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Definitions:

Muscle

Tissues in the body that can contract, allowing movement of body parts and organs.

Notochord

The notochord is a flexible rod-like structure that forms the main axis of the embryo in all chordates, providing support and defining the primitive axis of the embryo.

Mesodermal Tissue

The middle layer of embryonic tissue that develops into muscle, bone, and the circulatory system among others.

Neural Plate

The neural plate is the flat layer of embryonic cells that develops into the neural tube, eventually forming the brain and spinal cord.