Given Below Is the Scatter Plot of the Number of Employees

question 150

True/False

Given below is the scatter plot of the number of employees and the total revenue ($millions)of 20 U.S.companies.Companies that have higher numbers of employees appear to also have higher total revenue.

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Definitions:

Marginal Revenue Curve

A graphical representation showing the change in total revenue that results from selling one additional unit of a product or service.

Demand Elasticity

A measure of how much the quantity demanded of a good responds to a change in the price of that good.

Collusion

A secret or illegal agreement or cooperation between parties to limit competition and manipulate prices or market conditions in their favor.

Allocative Efficiency

Refers to a situation in which the resources in an economy are distributed according to consumer preferences, ensuring that goods are produced in the quantities exactly matching consumer desires.