The Addition to Total Cost Resulting from the Addition of the Last

question 30

Multiple Choice

The addition to total cost resulting from the addition of the last unit of output is known as:

• A) marginal product.
• B) average product.
• C) average variable cost.
• D) average total cost.
• E) marginal cost.

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Definitions:

U.S. Resident

An individual who lives in the United States, regardless of citizenship status, for a significant portion of the calendar year.

Government Budget Deficit

The financial situation in which a government's expenditures exceed its revenues, leading to borrowing or reducing reserves.

Domestic Investment

The total capital expenditures for the acquisition, maintenance, or improvement of physical assets within a country's borders.

Net Capital Outflow

The difference between the domestic country's sale of assets to foreigners and the domestic purchases of foreign assets over a given period, usually indicating how much a country is investing abroad compared to foreign investments in the country.