Isoquants are downward sloping becauseGroup of answer choicesas more units of an input are used to produce a product, total cost increases.as more units of an input are used to produce a product, the firms marginal productivity increases.if more of one input is used, then less of the other input must be used to keep output constant.Both as more units of an input are used to produce a product, the firms marginal productivity increases and if more of one input is used, then less of the other input must be used to keep output constant

The slope of the isoquant tells the firm how muchGroup of answer choicesoutput increases when labour increases by one unit.output increases when capital and labour are doubled.capital must decrease to keep output constant when labour increases by one unit.a unit of capital costs relative to the cost of labour.

The point of tangency between an isocost line and an isoquant is necessarilyGroup of answer choicesthe profit-maximizing combination of inputs that should be hired to produce that output level.the least costly combination of inputs that can be hired to produce the output level.both the profit-maximizing and least costly combination of inputs that can be used to produce the output level.the minimum amount of output that can be attained for that level of expenditure.

As indifference curve shows equal level of satisfaction at all points, An isoquant shows equal level of_________ A. Input B. Commodities C. Output D. Factors

Why is the supply curve upward-sloping?Multiple choice question.Producing significantly more of a product involves increased costs so the price of the good must rise for sellers to be willing and able to increase the quantity of the good they supply to the market.Producing significantly more of a product involves increased costs so the price of the good must fall for sellers to be willing and able to increase the quantity of the good they supply to the market.Producing significantly more of a product involves decreased costs so the price of the good must rise for sellers to be willing and able to increase the quantity of the good they supply to the market.

Multiple Choice QuestionThe resource demand curve of a purely competitive seller is downward sloping because the marginal product of the resource Blank______, whereas the resource demand curve of an imperfectly competitive sellers is downward sloping because the marginal product diminishes and Blank______.Multiple choice question.diminishes; product price falls as output is increasedincreases; product price rises as output is increaseddiminishes; product price falls as output is decreasedincreases; product price rises as output is decreased