Realizing That There Can Be More Than One Right Answer

question 70

Multiple Choice

Realizing that there can be more than one right answer to a problem, and that the right answer depends on the circumstances, demonstrates

• A)absolutism.
• B)mechanism.
• C)formalism.
• D)relativism.

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Definitions:

Fixed Costs

Expenses that do not change with the level of production or sales, such as rent, salaries, and insurance premiums.

Law Of Diminishing Returns

An economic principle stating that if one input in the production of a commodity is increased while all other inputs are held fixed, a point will eventually be reached at which additions of the input yield progressively smaller, or diminishing, increases in output.

Fixed Factor

A resource in the production process that remains constant, regardless of the level of output or production over a certain time period.

Total Product Curve

A graphical representation showing the output of a firm in relation to a single input while holding other inputs constant.