suppose that management increases the size of its plant. the most likely impact on total and...
suppose that management increases the size of its plant. the most likely impact on total and marginal products of the other inputs is that both will increase
True or false
Homework Answers
False
The total product of the firm in the firm can increase as they are employing more resources but we cannot exactly say that the marginal product will also increase, the firm can face a dimishing return or dis economies of scale that can lower the marginal product.
Add Answer to:
suppose that management increases the size of its plant. the
most likely impact on total and...
13. As output (plant size) increases, economies of scale occur when the A) long-run average cost...
13. As output (plant size) increases, economies of scale occur when the A) long-run average cost increases. B) long-run average cost decreases. C) short-run average total cost decreases. D) long-run average cost stays constant 14. Economies of scale can occur as a result of which of the following? A) increasing marginal costs as the firm increases its size B) higher fixed cost as the firm increases its size C) management difficulties as the firm increases its size D) greater specialization...
CarMax is a national chain that sells used cars. The likely impact of its arrival in...
CarMax is a national chain that sells used cars. The likely impact of its arrival in the market would be to _____. Everything else held constant, this would likely _____ the price of used cars. a. increase the quantity supplied of used cars; lower b. shift the supply of used cars to the left; raise c. shift the supply of used cars to the right; lower d. shift the supply of used cars to the right; raise 2 points Question...
1. Which of the following is most likely to result in a "free-rider" problem? Goods that...
1. Which of the following is most likely to result in a "free-rider" problem? Goods that are overpriced Goods that are nonexcludable Goods that are in limited supply Goods that are sold in monopoly markets 2. Which of the following is not a likely source of market failure? Asymmetric information Moral hazard Externalities Perfect competition 3. Which of the following categories most accurately describes the Social Security tax in the United States? Proportional Progressive Regressive Value-added tax 4. Which of...
If General Electric (an American company) finds that when it doubles both its plant size...
If General Electric (an American company) finds that when it doubles both its plant size and the amount of associated inputs, its output level more than doubles, then A. the firm is experiencing economies of scale B. long-run average costs must be increasing C. the law of diminishing returns is in effect D. the firm is experiencing constant returns to scale E. the firm should increase production
Which of the following statements is (are) most likely TRUE: I. If interest expense increases, FCFF...
Which of the following statements is (are) most likely TRUE: I. If interest expense increases, FCFF will increase, but FCFE stay the same (Note: Assume taxes >0) II. In theory, FCF models should provide the same estimate of intrinsic value as DDM models, but in practice, the estimate of intrinsic value can vary between the two models (sometimes substantially!) III. If management plans to change the company’s depreciation schedule (e.g. from straight line to accelerated), CFO will not change because...
2. Which of the following is not a likely source of market failure? Asymmetric information Moral...
2. Which of the following is not a likely source of market failure? Asymmetric information Moral hazard Externalities Perfect competition 3. Which of the following categories most accurately describes the Social Security tax in the United States? Proportional Progressive Regressive Value-added tax 4. Which of the following best describes a progressive tax? A tax under which the percentage of income paid as tax increases as income increases A tax under which the percentage of income paid as tax decreases as...
Suppose a business experiences a sudden increase in its fixed costs. For example, suppose property taxes...
Suppose a business experiences a sudden increase in its fixed costs. For example, suppose property taxes increase dramatically. What impact, if any, will this have on the following: the firm's AFC (average fixed cost); will increase. the firm’s AVC (average variable cost); will be unaffected. the firm’s ATC (average total cost); will increase with the average variable cost. the firm’s MC (marginal cost); will increase. What changes, if any, is there likely to be in these same cost CURVES?
Which would most likely shift the aggregate supply curve? A change in the prices of _____....
Which would most likely shift the aggregate supply curve? A change in the prices of _____. domestic products foreign products financial assets resources A decrease in aggregate demand in the short run will reduce _____. both real output and the price level the price level and increase the real domestic output the real domestic output and have no effect on the price level the price level and have no effect on real domestic output The economy's long-run AS curve assumes...
5. In the Keynesian model which of the following would be most likely to have the largest impact on aggregate demand a. an increase in the money supply b. a change in government expenditure c. a chan...
5. In the Keynesian model which of the following would be most likely to have the largest impact on aggregate demand a. an increase in the money supply b. a change in government expenditure c. a change in investment expectations d. both a and c e. both b and c 6. In the Keynesian theory of liquidity demand and the interest rate which of the following occurs during excess supply of money. a. individuals sell bonds, driving interest rates down...
When a firm increases its plant size in the long run and its per-unit costs fall,...
When a firm increases its plant size in the long run and its per-unit costs fall, this is called A. diminishing returns, and is shown by the downward-sloping portion of the MP curve (or the upward-sloping portion of the MC curve). B. constant returns to scale, and is shown by the flat portion of the LRATC curve. C. diseconomies of scale, and is shown by the upward-sloping portion of the LRATC curve. D. economies of scale, and is shown by...
13. As output (plant size) increases, economies of scale occur when the A) long-run average cost increases. B) long-run average cost decreases. C) short-run average total cost decreases. D) long-run average cost stays constant 14. Economies of scale can occur as a result of which of the following? A) increasing marginal costs as the firm increases its size B) higher fixed cost as the firm increases its size C) management difficulties as the firm increases its size D) greater specialization...
5. In the Keynesian model which of the following would be most likely to have the largest impact on aggregate demand a. an increase in the money supply b. a change in government expenditure c. a change in investment expectations d. both a and c e. both b and c 6. In the Keynesian theory of liquidity demand and the interest rate which of the following occurs during excess supply of money. a. individuals sell bonds, driving interest rates down...
Most questions answered within 3 hours.
-
Where is the error in this code sequence?
String s1 = "Hello";
String s2 = "ello";...
asked 11 months ago -
Financial data for Joel de Paris, Inc., for last year
follow:
Joel de Paris, Inc.
Balance...
asked 11 months ago -
Consider this reaction:
Al2(SO4)3 (aq)+ BaCl3
(aq) Al2Cl6 (aq)- +
3BaSO4(s) . What is the...
asked 11 months ago -
Suppose that Savneet is considering increasing her
recent random sample from 20 car rentals to 40...
asked 11 months ago -
Trucks arrive at an unloading terminal at an average rate of 120
per hour.
Trucks arrive...
asked 11 months ago -
Why are methanol and ethanol completely soluble in water while
octanol is not very little soluble....
asked 11 months ago -
A facilities manager at a university reads in a research report
that the mean amount of...
asked 11 months ago -
When the CuSO4 is rehydrated by adding water to the anhydrous
compound, is this an endothermic...
asked 11 months ago -
A ray of sunlight is passing from diamond into crown glass; the
angle of incidence is...
asked 11 months ago -
A block of mass 0.249 kg is placed on top of a light, vertical
spring of...
asked 11 months ago -
how do the kidneys compensate in the presences of acidosis
a) trigger hyperventilate
b) reserve acid...
asked 11 months ago -
Question 501 pts
The rental rate of capital to the firm increases. Which of the
following...
asked 11 months ago