If Social Regulation Increases a Firm's Fixed and Variable Costs

question 13

Multiple Choice

If social regulation increases a firm's fixed and variable costs:

• A)then both marginal cost and average total cost will increase,and the firm will produce more.
• B)then both marginal cost and avetage total cost will increase,and the firm will produce less.
• C)then both marginal cost and average total cost will decrease,and profits will increase.
• D)Marginal cost will increase,average total cost will be constant,and price will decline.
• E)both price and quantity produced will fall.

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Definitions:

Neurons

Specialized cells within the nervous system that transmit information to other neurons or cells through electrical and chemical signals.

Young-Helmholtz Theory

A theory of color vision that proposes the eye contains three types of color receptors, which are sensitive to red, green, and blue.

Primary Color

One of a small group of colors (typically red, green, and blue for light or cyan, magenta, and yellow for pigment) that can be combined to create a full spectrum of colors.

Trichromatic Analysis

A theory of color vision based on the idea that the eye contains three types of color receptors, sensitive to red, green, and blue light.