When the Production of a Good Involves Several Inputs,an Increase

question 84

Multiple Choice

When the production of a good involves several inputs,an increase in the cost of one input will usually cause total costs to

• A) rise more than in proportion.
• B) rise less than in proportion.
• C) remain unchanged.
• D) rise by the exact amount of the input price increase.

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Definitions:

Assembly Line

A manufacturing process in which parts are added to a product in a sequential manner to create a finished product more efficiently.

Experimental Method

A research methodology that involves the manipulation of one variable to determine its effect on another variable, often with the use of control and experimental groups.

Precise Control

The ability to manage or direct with great accuracy and exactness.

Real Life

Refers to actual events, situations, or experiences as opposed to those that are fictional or hypothetical.