Which of the following describes how output changes in the short run? Because of specialization and the division of labor, as more workers are hired
A) output will first decrease at an increasing rate, then increase at a decreasing rate.
B) the marginal product of labor will first be negative and then will be positive.
C) output will first increase at an increasing rate, then output will increase at a decreasing rate.
D) the marginal product of labor will first decrease, then increase at a decreasing rate.
Question 2
Consumers in a monopolistically competitive market do not receive any consumer surplus because the price paid for the product exceeds the marginal cost of production.
Indicate whether the statement is true or false
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