The Main Reason the American Factory Worker Can Produce More

question 18

Multiple Choice

The main reason the American factory worker can produce more than the Brazilian factory worker is that they

• A)are equipped with better capital.
• B)have more capital with which to work.
• C)are equipped with better capital AND have more capital with which to work.
• D)Neither of these reasons are true.

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Definitions:

Cost Curve

is a graphical representation of how the cost of producing varies with different levels of output, typically including curves like average cost and marginal cost.

Output

The quantity of goods or services produced by a firm or industry.

Short Run

A period in economics during which at least one factor of production is fixed, constraining the firm's capacity to adjust to changes in demand or supply.

Declines

A decrease in value, amount, or quality over a certain period.