A marginal cost curve
A) is upward sloping.
B) shows that as more of a good is produced, opportunity costs of producing another unit increase.
C) is bowed inward so that its slope can become negative.
D) Both answers A and B are correct.

Question

Quizplus · Accepted Answer

The marginal cost curve is typically upward sloping because as more of a product is produced, the opportunity costs of producing another unit generally increase. This reflects the law of increasing costs.

A Marginal Cost Curve