Answered: 37. The iso revenue function will shift…

37. The iso revenue function will shift up parallel: a. If the prices of one product increases. b. If the prices of inputs increase. Ca If the revenue is increased. d. All of the above are cotrect

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter7: Production, Costs, And Industry Structure

Section: Chapter Questions

Problem 1SCQ: A firm had sales revenue of 1 million last year. It spent 600,000 on labor, 150,000 on capital and...

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Concept explainers

Profit Maximization

Economic activity is related to the use of scarce resources of the economy that are used for producing goods and services which are required to satisfy various demands of the people. In other words, it can be said that it is all about satisfying the unlimited demands of individuals with the limited resources available. The production decision is taken by the producers or the firms. In economics, the terms ‘producers’, ‘suppliers’, and ‘firms’ are interchangeable. Now the question arises, what does a firm actually mean?

Question

37. The iso revenue function will shift up parallel:
a. If the prices of one product increases.
b. If the prices of inputs increase.
Ca
If the revenue is increased.
d. All of the above are cotrect

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