The Amount by Which an Additional Unit of an Activity

question 65

Multiple Choice

The amount by which an additional unit of an activity increases total cost is:

• A)net benefit.
• B)marginal benefit.
• C)negative benefit.
• D)marginal cost.

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Definitions:

Good Sold

A product that has been sold to a customer, transferring ownership from the seller to the buyer.

Binding Price Ceiling

A Binding Price Ceiling is a government-imposed limit on the price charged for a product or service that is set below the market equilibrium, leading to shortages.

Treadmills

Exercise equipment designed for walking or running in place, often used in fitness routines to improve cardiovascular health.

Shortage

An occurrence in which the need for a particular product or service surpasses the available amount in the market.