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What characteristics lead to an upward-sloping supply curve?
Increasing opportunity costs.Increasing marginal costs.
Are marginal costs relevant costs?
If marginal costs are relevant for specific situation or specific decision making scenario then marginal costs are relevant costs otherwise marginal costs can be irrelevant.
Where could one learn about marginal costs?
One is able to learn about marginal costs at several different places online, such as at the following websites: the Wikipedia Marginal Costs webpage, Marginal Cost, and Margins.
Profits will be maximized when marginal revenue?
Profits will be maximized when marginal revenue is equal to marginal costs. This will only happen in cases where there are fixed costs.
Rational decisions occur when the marginal benefits of an action equal or exceed the marginal costs?
Rational Decision making occurs when marginal benefits of an action exceed the marginal costs
Is opportunity cost is the same as marginal cost?
No, opportunity cost is not the same as marginal cost, since opportunity cost represent the expected utility loss from the highest-valued alternative given-up for an action. In this case, that not only includes marginal costs, but also fixed costs and marginal benefits foregone.Marginal cost is the cost of producing an additional widget when you're already producing several of them. This must cover direct costs such as wages and direct overheads, but can ignore return on capital and other fixed costs.Opportunity cost is the hypothetical loss that we would incur should we not proceed with a particular investment.We could buy a painting in the expectation that it would rise in value. That is the value of that opportunity. If we instead to invest in widgets, the returns from them are real.In either case, we can only buy one of the items, and the hypothetical loss from forgoing the other item is the opportunity cost of the course we chose.
A producers profits are maximized when marginal costs are?
equal to marginal revenue
A producers profits are maximized when marginal costs are .?
equal to marginal revenue
How can marginal revenew and marginal costs help set the most profitable putput level?
The most profitable output level is when marginal costs equals marginal revenue. When marginal revenue is larger than marginal cost, that means that more product can be produced for more profit.
If you have Marginal Cost and Marginal Damages how do you find the optimal level of output?
The optimal level of output is where marginal costs = marginal damages.
What Economists say that choices involves comparing?
Marginal benefits and marginal costs
Where will A profit maximizing firm produce?
Where the marginal benefits equal marginal costs.
