Because the Marginal Product of a Variable Resource at First

question 91

Multiple Choice

Because the marginal product of a variable resource at first increases and then decreases as the output of the firm is increased,

• A)total cost at first increases at a decreasing rate and then increases at an increasing rate.
• B)total variable cost at first increases at an increasing rate and then increases at a decreasing rate.
• C)average total cost at first increases and then diminishes.
• D)average fixed cost will rise beyond the point of diminishing returns.Topic: Short-Run Production Relationships

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Definitions:

Optic Nerve

A crucial nerve in the visual system that transmits visual information from the retina to the brain.

Physical Symptom

A bodily manifestation of a condition or disease, which is often objectively observed or measured.

Somatic Symptom Disorder

A mental disorder characterized by an excessive focus on physical symptoms that cause significant distress or impairment in daily functioning.

Secondary Gains

Benefits indirectly derived from being sick, such as attention, escape from duties, or financial gain.