Refer to the graph. Which one of the following would cause a move from point b on short-run average total cost curve ATC ₁ to point e on short-run average cost curve ATC ₂?
A)diminishing marginal returns
B)an increase in the wage rate
C)a decrease in the wage rate
D)increasing marginal returns

Question

Refer to the graph. Which one of the following would cause a move from point b on short-run average total cost curve ATC ₁ to point e on short-run average cost curve ATC ₂?
A)diminishing marginal returns 
B)an increase in the wage rate 
C)a decrease in the wage rate 
D)increasing marginal returns

Quizplus · Accepted Answer

The Answer of  Refer to the graph. Which one of the following would cause a move from point b on short-run average total cost curve ATC ₁ to point e on short-run average cost curve ATC ₂?
A)diminishing marginal returns 
B)an increase in the wage rate 
C)a decrease in the wage rate 
D)increasing marginal returns

Refer to the Graph