Marginal resource cost is defined as the
A)total cost of producing a unit
B)total cost of adding one more unit of a resource, other things constant
C)cost of adding one more unit of a resource, other things constant
D)marginal cost divided by the quantity of a resource
E)price of labor

Question

Quizplus · Accepted Answer

Marginal resource cost is the cost of adding one more unit of a resource while keeping all other factors constant. It is not the total cost of producing a unit (option A) or the total cost of adding a resource (option B). It is also not the marginal cost divided by the quantity of a resource (option D) or the price of labor (option E). Therefore, the best choice is C.

Marginal Resource Cost Is Defined as the