A Supply Curve Slopes Upward Because

question 50

Multiple Choice

A supply curve slopes upward because:

• A)an increase in input prices increases supply
• B)a decrease in input prices decreases supply
• C)as more is produced, per unit costs of production fall
• D)an increase in price gives producers incentive to supply a larger quantity

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Definitions:

Perfect Prototype

An ideal or optimal model of a process, product, or concept that serves as a standard for replicating or comparing similar entities.

Bounded Rationality

A concept that individuals make decisions based on the limited information they have available and their own mental limitations.

Nobel Prize

A set of international awards given annually in several categories including Peace, Literature, and various sciences, recognizing significant contributions to humanity.

Herbert Simon

An American economist, political scientist, and cognitive psychologist known for his research in the fields of decision-making and artificial intelligence, including the concept of "bounded rationality."