Author Question: The equimarginal principle illustrates: a. that consumers are essentially robots. b. that people ... (Read 61 times)

melly21297 · **on:** Jun 30, 2018

The equimarginal principle illustrates:
a. that consumers are essentially robots.
b. that people behave irrationally.
c. that people behave in rather consistent ways in order to maximize happiness.
d. that people behave in rather inconsistent ways.
e. that people will spend all their incomes.

Question 2

The short-run average total cost curve eventually turns upward to form a U shape because:
a. of diminishing marginal cost.
b. of increasing average fixed cost.
c. all factors can be varied in the long run.
d. of diminishing marginal productivity.