For a Firm,what Is the Relationship Between the Quantity of Input

question 200

Multiple Choice

For a firm,what is the relationship between the quantity of input and quantity of output called

• A)profit function
• B)production function
• C)total-cost function
• D)quantity function

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Definitions:

Production Possibilities Curve

A graphical representation showing the maximum quantity of goods and services that a society can produce with existing resources and technology, underlining the concept of opportunity cost.

Consumer Goods

Goods produced for direct consumption by the end customer, as opposed to goods used in the production of other goods.

Capital Goods

Physical assets that are used in the production of other goods and services and have a life expectancy of more than one year.

Production Possibilities Curve

A graphical representation that shows the maximum number of goods or services that can be produced efficiently with limited resources.