Why Do We More Often Hear References to the Median

question 135

Multiple Choice

Why do we more often hear references to the median family income in the U.S.than to the mean family income in the U.S

• A) The median is the most common income.
• B) Family incomes are very similar across the U.S., making the mean to compute.
• C) Income data is highly influenced by a small number of families making extremely high incomes.
• D) There are too many families in the U.S. for the mean to be computed.

---

Definitions:

Shutdown Point

The level of production and price point at which a company's revenue from goods sold is equal to the variable cost of production, making operations financially unsustainable in the short term.

Shutdown Point

The level of output and price at which a firm's total revenue is equal to its total variable costs, below which the firm will decide to cease production in the short run.

Break-even Point

The point at which total costs and total revenue are equal, meaning there is no net loss or gain.

Long-run Supply Curve

A graphical representation showing the relationship between the price level and the quantity of output that producers are willing to supply, taking into account all factors of production can be varied.