If a Blighted Urban Neighborhood Were to Suddenly Develop an Assortment

question 34

Multiple Choice

If a blighted urban neighborhood were to suddenly develop an assortment of upscale restaurants, coffee shops, hip boutiques, and art galleries, then the neighborhood is:

• A) changing patterns of gender relations.
• B) becoming gentrified.
• C) experiencing smart growth.
• D) growing into an edge city.
• E) reacting to the rural rebound.

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Definitions:

Fixed Costs

Costs that do not vary with the level of output or production, such as rent or salaries.

ATC

Average total cost is found by dividing the overall production cost by the number of units produced.

Marginal Revenue

The additional income generated from the sale of one more unit of a product or service.

AVC

Stands for Average Variable Cost, which is the total variable costs (costs that vary with production levels) divided by the quantity of output produced.