Variable Costs

question 158

Multiple Choice

Variable costs:

• A) exist only in the short run.
• B) change as output changes.
• C) are positive even when a firm produces no output.
• D) do not vary with output.

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Definitions:

Birth Cohorts

Groups of individuals born during the same period who experience similar historical and social conditions.

Internal Attribution

The process of ascribing the cause of a behavior to personal aspects such as personality, disposition, or attitude.

Self-Serving Bias

The tendency to take credit for success but deny responsibility for failure.

Attribution Error

A cognitive bias that occurs when individuals incorrectly attribute causes for behaviors or events, often underestimating situational factors and overestimating personal factors.