« previous next »

Author Question: What is the relationship between the marginal cost, minimum supply-price, and supply? What will ... (Read 84 times)

Marty

  • Hero Member
  • *****
  • Posts: 553
on: Jun 29, 2018
What is the relationship between the marginal cost, minimum supply-price, and supply?
 
  What will be an ideal response?

Question 2

Holding everything else constant, an increase in the price of MP3 players will result in
 
  A) a decrease in the demand for MP3 players.
  B) a decrease in the quantity of MP3 players supplied.
  C) an increase in the supply of MP3 players.
  D) a decrease in the quantity of MP3 players demanded.
Foundations of Microeconomics ¦ Bade, Parkin ¦ 8th Edition
Buy Test-Bank


tuate

  • Sr. Member
  • ****
  • Posts: 332
Reply #1 on: Jun 29, 2018
Answer to Question 1

The marginal cost is the cost of producing an additional unit of a good. The marginal cost is the minimum price that producers must receive to induce them to offer one more unit of a good or service for sale. This minimum supply-price determines the supply of the good, so the supply curve is the same as the marginal cost curve.

Answer to Question 2

D


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Women are 50% to 75% more likely than men to experience an adverse drug reaction.

Did you know?

Elderly adults are at greatest risk of stroke and myocardial infarction and have the most to gain from prophylaxis. Patients ages 60 to 80 years with blood pressures above 160/90 mm Hg should benefit from antihypertensive treatment.

Did you know?

Liver spots have nothing whatsoever to do with the liver. They are a type of freckles commonly seen in older adults who have been out in the sun without sufficient sunscreen.

Did you know?

The average older adult in the United States takes five prescription drugs per day. Half of these drugs contain a sedative. Alcohol should therefore be avoided by most senior citizens because of the dangerous interactions between alcohol and sedatives.

Did you know?

Children with strabismus (crossed eyes) can be treated. They are not able to outgrow this condition on their own, but with help, it can be more easily corrected at a younger age. It is important for infants to have eye examinations as early as possible in their development and then another at age 2 years.

Relationship between winter rainfall and chuckwalla, Sauromalus, size Relationship between winter rainfall and chuckwalla, Sauromalus, size
Relationship between blood and lymph capillaries. Relationship between blood and lymph capillaries.
The relationship of substrate con- version (as measured by optical density) to the amount of patient ... The relationship of substrate con- version (as measured by optical density) to the amount of patient ...
A relationship between folate and B12 metabolism A relationship between folate and B12 metabolism
Marginal Supply - Demand Curve Marginal Supply - Demand Curve
How wide must a narrow slit be if the first diffraction minimum occurs at 12 with laser light ... How wide must a narrow slit be if the first diffraction minimum occurs at 12 with laser light ...
Video: What are Taste Receptors? How Does it Work? Animation

For a complete list of videos, visit our video library