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Alice Is an AIDS Worker in Botswana Working on a Project

question 20

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Alice is an AIDS worker in Botswana working on a project with the goal of reducing the number of new AIDS infections. Which would be the most effective strategy?


Definitions:

Marginal Cost Curve

A graphical representation of the change in total cost that arises when the quantity produced changes by one unit.

Average Variable Cost Curve

A graph that shows how the average variable cost of production changes as the quantity of output changes.

Marginal Cost

The price involved in creating another unit of a good or service.

Break-even Price

The price at which total revenues equals total costs, resulting in neither profit nor loss.

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