Author Question: At the low point of the average total cost curve, marginal costs and average total costs are equal. ... (Read 158 times)

tatyanajohnson · **on:** Jun 30, 2018

At the low point of the average total cost curve, marginal costs and average total costs are equal.
Indicate whether the statement is true or false

Question 2

Explain why an increasing divorce rate tends to increase the inequality of income.

kxciann · **Reply #1 on:** Jun 30, 2018

Answer to Question 1

True

Answer to Question 2

Divorces create two households where formerly there had been one, usually lowering the income per household in the process. This increases the apparent income inequality. Even if the household had two incomes, each now moves from a much higher bracket/quintile to a lower one.