Suppose the Fixed Cost of Building a Nuclear Power Plant

question 9

Multiple Choice

Suppose the fixed cost of building a nuclear power plant is $1 billion. Suppose also that the only variable cost is the labor of Homer Simpson, and he earns $10 per hour. If the plant generates 1,000 kilowatts each hour, and has already generated 1 billion kilowatts, what can you say about the marginal cost of the next kilowatt?

• A) The marginal cost is falling.
• B) The marginal cost is equal to $.01.
• C) The marginal cost is equal to $1.01.
• D) The marginal cost is rising.

Differentiate among various theories of intelligence (e.g., Spearman's g-factor, Thurstone's primary mental abilities, Gardner's multiple intelligences, Sternberg's triarchic theory).

Identify the components and significance of IQ tests, including how IQ scores are calculated and interpreted.

Appreciate the implications of high or low IQ scores on academic and professional outcomes.

Understand the categorization of intellectual disabilities and their impact on individuals' daily lives and learning capabilities.

---

Definitions:

Involuntary Reflex Responses

Automatic, rapid responses of the nervous system to a stimulus that do not require conscious thought, protecting the body from harm.

Group Mean

A statistical measure that represents the average value of data points within a specified set or group.

Average Reaction Time

The typical duration it takes for an individual to respond to a stimulus.

Voluntary Reaction

involves conscious control over actions or movements, such as deciding to grab a cup of coffee.