If in an Industry with One Variable Input, the Marginal

question 135

Multiple Choice

If in an industry with one variable input, the marginal product of the input doubled and the output price fell in half, the demand for the input would:

• A)be four times its previous level.
• B)be two times its previous level.
• C)be the same as its previous level.
• D)be one half its previous level.
• E)be one fourth its previous level.

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Definitions:

Imposter Rule

A rule that holds that if one obtains a negotiable instrument by impersonating another and endorses it with the impersonated party’s signature, the loss falls on the drawer of the instrument.

Uniform Commercial Code

A comprehensive set of laws governing all commercial transactions in the United States, intended to standardize and simplify transactions across state lines.

Proper Presentment

The correct or formal presentation of a document for acceptance or payment, such as a check.

Accommodation Party

is an individual who signs a negotiable instrument on behalf of another party, guaranteeing payment without receiving personal benefit.