Theory of Production and Cost-Test 9

A long run analysis of production is called

The law of diminishing, Return depends on the assumption that

Increasing returns to scale is not caused by

The marginal product curve is above the average product curve when the average product is

The point, which shows the maximum marginal product in the total product curve, represents

In the short run Analysis, MP = 0 at the level in which

All money costs can be regarded as :

The cost assigned to factors of productions that the firm neither hires nor purchases is called

Of the followings which one correspond to fixed cost

The firm producing at the minimum point of the Ac curve is said to be

The average profit is equal to the difference between

Rectangular hyperbola is the shape of

Which is the best definition of the marginal firm

In short-run, a firm would remain in business as long as which one of the following of costs is covered ?

The vertical distance between TVC and TC is equal to

Each short-run average cost curves coincides with long run cost curves

The normal long run average cost curve is influenced by the

Minimum marginal cost occurs at the output where

The economies and diseconomies of large scale production is determined by

Which is an inverted ‘U’ shaped curve ?

An entrepreneur will stay in business in the long run as long as he meets

If the total cost curve is plotted, marginal cost can be illustrated, by –

Marginal cost curve

“Steps downwards at first and then upwards” it is the movement of

The optimum output is the one, which is produced

A concept, which has importance in the equilibrium analysis and thus economic analysis, is

The prime cost may be considered as

Which of the following creates time utility ?

Which period is called as market period ?

In the case of very short period ____ is variable.