Author Question: The law of diminishing marginal product provides an explanation for why average total cost ... (Read 16 times)

storky111 · **on:** Jun 30, 2018

The law of diminishing marginal product provides an explanation for why average total cost eventually increases as output is expanded in the short run.
a. True
b. False
Indicate whether the statement is true or false

Question 2

Which of the following is an impact of the restriction on immigration on the domestic firms?
a. The domestic firms would produce more and reap greater profits.
b. The domestic firms would hire more unskilled laborers at lower wages.
c. The domestic firms would charge low prices for their products.
d. The domestic firms would have to pay higher wages and make less profit.
e. The domestic firms would make above normal profits in the long run.