Refer to the information provided in Figure 10.2 below to answer the question(s) that follow. Figure 10.2 -Refer to Figure 10.2. This firmʹs marginal cost curve has shifted from MC₁ to MC₀. A likely explanation for this is that A) the productivity of a variable input increased. B) the price of a variable input increased. C) the demand for the firmʹs product increased. D) the supply of a variable input increased.

Question

Quizplus · Accepted Answer

The shift from MC₁ to MC₀ indicates an increase in marginal costs, which is likely due to an increase in the price of a variable input, making production more expensive.

Refer to the Information Provided in Figure 10