Which of the Following Statements Is True

question 38

Multiple Choice

Which of the following statements is true?

• A) The law of diminishing returns states that beyond some point the marginal product of a variable resource continues to rise.
• B) The marginal product is the change in total output by adding one additional unit of a fixed input.
• C) Fixed costs are costs which vary with the output level.
• D) When marginal productivity of a variable input is falling then marginal costs of production must be rising.
• E) When marginal cost is below average cost, average cost rises; when marginal cost is above average cost, average cost falls.

---

Definitions:

Correct Answer

The exact or appropriate solution or response to a question or problem.

East Asian Participants

refers to individuals from East Asian countries involved in research or studies, providing data reflective of their cultural background.

European Americans

Americans of European ancestry or descent, often categorized based on their ethnic origins.

Uniqueness

The quality of being the only one of its kind, distinct and not like anything or anyone else.