Consider a Firm in the Short Run

question 17

Multiple Choice

Consider a firm in the short run.If AP = MP and both are positive,then total product

• A)is at a maximum.
• B)is decreasing as extra units of the variable factor are employed.
• C)is increasing as extra units of the variable factor are employed.
• D)may be either increasing or decreasing as extra units of the variable factor are employed.
• E)is at its minimum.

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Definitions:

Foreign Portfolio Investment

Investment in financial assets from another country, such as stocks or bonds, which does not provide the investor with direct control over the assets.

GNP

Gross National Product; the total value of all goods and services produced by a country's residents over a specified period, including income from abroad.

GDP

Gross Domestic Product, the total monetary value of all goods and services produced within a country's borders in a specific time period.

Technological Knowledge

The information and understanding related to the practical application of tools, machines, and techniques for solving problems and creating new products or processes.