Whenever the Marginal Cost Curve Lies Below the Average Total

question 129

Multiple Choice

Whenever the marginal cost curve lies below the average total cost curve, the:

• A) average variable cost is increasing.
• B) average variable cost is decreasing.
• C) average total cost is increasing.
• D) average total cost is decreasing.

---

Definitions:

Equity Principles

Guidelines that ensure fairness and justice within processes, distributions, or treatments in various contexts.

Interactional Unfairness

The perception that the interpersonal treatment one receives is disrespectful or lacks dignity, often in the context of decision-making.

Equity Theory

A principle suggesting that individuals are motivated by fairness in their relationships, impacting their work attitude and behaviors.

Interactional Unfairness

A perception of injustice in the way individuals are treated during interpersonal interactions, affecting their feelings of respect and dignity.