What stage of production is the increase in output that results from increase in a firm's outputs by some proportion? If the firm is operating efficiently, how can it reduce cost in the short run?

Q: For an increase in output, average costs change by more in the short-run than in the long run, but…

A: Meaning of Cost: The term cost refers to the situation under which a firm occurs various expenses…

Q: If the law of diminishing returns did not hold, we can produce a the food the world needs in one…

A: In economics, diminishing returns is the decrease in marginal output of a production process as the…

Q: How would the long-run equilibrium output change if new natural resource (energy) was discovered?…

A: Natural resources are the raw materials that are used by the business organizations in order to…

Q: The basic difference between the short run and the long run is that?

A: Short run refers to the time period which does not allow the change in capital to adjust with market…

Q: The optimal level of production for any company is the level of production that either maximizes…

A: Total cost (TC): - it is the sum of fixed and variable costs incurred in the production process.…

Q: n a self-regulating economy “X”, labor supply is 40 million but labor demand is 10 million. What…

A: Labor: Labor is the measure of physical, mental, and social exertion used to create labor and…

Q: Explain how the stages of production are determined. Give information about the shape and slope of…

A: A production function shows the unique relationship between inputs and outputs. It shows the maximum…

Q: How is it possible for households to have a negative savings rate and what has caused this negative…

A: Saving is the excess of income over consumption expenditure.  S = Y - C

Q: How would the long run total cost curve change if the price of capital increase? Explain your answer…

A: Long run total cost curve show the total cost of optimal choice of combination for labor and capital…

Q: Instructions: Click the buttons above the graphing window to show either production functions or…

A: Productivity in the following tables can be found out by dividing output by the number of workers.…

Q: What is meant by technological advance, as broadly defined? How does technological advance enter…

A: Technological advance in means the use of new technology or advance or upgraded technology such that…

Q: What is the increase in output that results from an increase in all of a firm’s outputs by some…

A: The increase in output that results from an increase in all of a firm's output by some proportion…

Q: It is clear that businesses operate in the short run, but do they ever operate in the long run?…

A: When a business is established the main focus of the owner is to conquer the short-run functions and…

Q: The most efficient scale of production is where at which point?

A: According to the given question In simple words we can say that scale of production basically or…

Q: Is it possible to increase the labor productivity (output per unit of labor) in a given production…

A: Labor productivity: It is the volume of output produced per unit of labor during a particular time.…

Q: The basic characteristic of the short run is that?

A: Short-run is a period of time in which at least one input is fixed and the others are variable. It…

Q: Question 23.23  The long run is a period of time, or a time frame, in which         all resources…

A: In micro economics, the determination of output and price depends upon the time period under…

Q: What must an entrepreneur do to earn a profit? How do the actions of firms earning profits influence…

A:

Q: Plant sizes get larger as you move from Plant 1 to Plant 4. In the long run, the firm should use…

A: Cost functions are derived functions. Cost is derived from production, which describes the available…

Q: Which would shift the production function upward? Group of answer choices An increase in the price…

A: Production function is the relationship between the quantity produced and the factors used in…

Q: What must an entrepreneur do to earn a profit? How do the actions of firms earning profits influence…

A: An entrepreneur should always remember that its revenue should be higher than its cost in order to…

Q: How does rising organic composition of capital threaten the rate of profit?

A: Historically, there have been a lot of economic theories stating the requirements for the…

Q: True or False    A production function in "economics" summarizes the technological relationship…

A: Meaning of Cost: The term cost refers to the situation under which a firm occurs various expenses…

Q: In economics, the short run is a period of time  A of one year or less. B in which all inputs are…

A: In short run in economics, the factors of production are such that they cannot be changed quickly…

Q: Toyota contemplating whether to increase production of SUVs based on future consumer demand. Is that…

A: The study of economics can be divided into two branches namely macroeconomics and microeconomics.…

Q: Which of the following factors of production is variable in the short run? labour machinery and…

A: In the mentioned question, we have been asked which is short-run among the mentioned factors.

Q: The production period in which at least one input is fixed in quantity is the production run. long…

A: There are two types of production periods-short-run and long-run. These two cannot be classified on…

Q: although finished goods are scarce, the inputs to produce them are not scarce. true false

A: although finished goods are scarce, the inputs to produce them are not scarce.

Q: What is the  Short run and long run period in the production function of the economics

A: In simple words we can say that the Short run period in the production function of the economics…

Q: What must an entrepreneur do to earn a profit? How do theactions of firms earning profits influence…

A: Profits are important as they show how productive a company's activities are. Furthermore, profits…

Q: The law if diminishing marginal returns is the rate at which one input maybe substituted for another…

A: The law of diminishing marginal returns is not the rate of substitution of one input for another…

Q: Which stage of short run production is efficient? Why?

A: In microeconomics, we have two time periods namely short run and long run. Short run is the time…

Q: Do you think that the taxicab industry in large cities would be subject to significant economies of…

A: The economies of scale arise when a firm produces a large quantity because as the production…

Q: What emphasis, if any, should be placed on lean production?

A: Lean production is a concept of doing business in which the aim is minimization of resources and…

Q: What is the difference between short-run and long-run in production theory?  *Explain thoroughly*

A: Production is defined as the process in which factors of production or inputs are put to use in…

Q: What do economists mean by "deminishing returns" to an input? What causes diminishing returns? Where…

A: Diminishing Returns It means when we employ one additional unit of variable factor then the marginal…

Q: What best describes the long run? a period of time that labor can change a period longer than six…

A: The long run is a span of time during which all production parameters and costs are subject to…

Q: When do you think production is on the part of increasing returns on the production function?…

A: Returns to scale is an economic term that defines what happens to long-run returns as production…

Q: What would happen to output if one input would increase and the other would not?

A: Answer: Introduction: Production involves many inputs such as land labor, and capital, etc. In the…

Q: When the law of diminishing returns takes effect   a. a firm must always try to add the same…

A: The Law of diminishing returns is a short-run concept.  It states that in the short run, when one…

Q: In the short run, if a firm chooses to operate and produce output, it must be the case that

A: The shutdown point of a firm comes when the price of the goods sold is less than the variable cost…

Q: Refer to the figure at right. An increase in production from q, to q, A. is more costly in the short…

A: In the short run at least one input is fixed and in long run all inputs are variable.

Q: With the increase in the production which cost Increases continuously?

A: According to the given question Cost basically analyse economic decision relatively including the…

Q: What is the optimization condition for economically efficient use of energy in production in the…

A: In the short run, the optimal production occurs at the following point. MR = Price of input / Price…