Consider Two Firms, a and B, That Are Producing the Same

question 63

Multiple Choice

Consider two firms, A and B, that are producing the same product but with different marginal costs. In this case,

• A) neither firm is producing its output at the lowest attainable cost.
• B) each firm is being wasteful.
• C) a reallocation of output between the firms can lower the industry's total cost.
• D) one firm is not maximizing profits.
• E) some resources must be unemployed.

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Definitions:

Core Self-Evaluations

A personality trait which encompasses an individual’s subconscious, fundamental assessment about themselves, their abilities, and their control over their environment.

Proactive Personality

Characterizes individuals who are naturally inclined to take initiative and effect change in their environments rather than merely reacting to circumstances.

Self-Regulation

The ability of individuals to manage their own thoughts, feelings, and behaviors to achieve long-term goals.

Self-Esteem

An individual's subjective assessment of their own worth or value.