Figure 13-2
The figure depicts a total cost function for a firm that produces cookies.

-Refer to Figure 13-2.What does the changing slope of the total-cost curve reflect
A)decreasing average variable cost
B)decreasing average total cost
C)decreasing marginal product
D)decreasing marginal cost

Question

Figure 13-2
The figure depicts a total cost function for a firm that produces cookies.
 
-Refer to Figure 13-2.What does the changing slope of the total-cost curve reflect
A)decreasing average variable cost 
B)decreasing average total cost 
C)decreasing marginal product 
D)decreasing marginal cost

Quizplus · Accepted Answer

The changing slope of the total-cost curve reflects the decreasing marginal product, as it indicates how additional units of input contribute less to output, leading to increasing costs.

Figure 13-2 The Figure Depicts a Total Cost Function for a Firm