5. As additional units are produced, the marginal revenue product falls for all firms because marginal product decreases. For firms operating in industries that are not perfectly competitve, marginal revenue product also falls because 6.
All things being equal, an increase in demand for a product,
7. Marginal cost can be defind as the additon to one more unit of output. 8. If a firm stars small and, over time, builds successively larger plant sizes or adds additonal work space in an office, average total costs are most likely to 9.
Demand for resources, including labor, depend on its
10. The primary difference between increasing-and decreasingcost industries lies in 11. When adding labor or other factors of production, buisnesses may see their total product rise, but see their per-unit increase in return for each additional unit diminish. This phenomenon 12. In the short run, firms should shut down if 13. When you are considering the value of a resource in its next best use, you are considering its 14. Of the four major market structures-perfectly competitive, monopolistic competition, oligopoly, monopoly-reducing variable costs of production ------------------------------------------------------ECO 561 Week 2 Learning Team Reflection For more classes visit