Research Indicates That in the Forty-Five Years Before the Civil

question 52

Multiple Choice

Research indicates that in the forty-five years before the Civil War, slavery

• A) caused boom-and-bust economic cycles to occur more frequently in the South than they occurred in the North.
• B) made it impossible for southern planters to participate in the emerging market economy.
• C) was a profitable labor system.
• D) caused a greater maldistribution of wealth in southern society than that found in northern society.

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Definitions:

AVC

Average Variable Cost is the total variable costs divided by the quantity of output produced; it represents the variable cost per unit of output.

Optimal Plant Size

The scale of production at which a firm can produce goods at the lowest average cost, maximizing efficiency.

Fixed Factors

Resources in production that cannot be easily increased or decreased in the short term, such as land or certain machinery.