Figure 12-2
-Refer to Figure 12-2.The graph illustrates a typical production function.Based on its shape,what does the corresponding total cost curve look like?
A) an upward-sloping curve that increases at an increasing rate
B) an upward-sloping curve that increases at a decreasing rate
C) a downward-sloping curve
D) a horizontal straight line

Question

Figure 12-2 
-Refer to Figure 12-2.The graph illustrates a typical production function.Based on its shape,what does the corresponding total cost curve look like?
A) an upward-sloping curve that increases at an increasing rate 
B) an upward-sloping curve that increases at a decreasing rate 
C) a downward-sloping curve 
D) a horizontal straight line

Quizplus · Accepted Answer

The production function typically shows diminishing returns, meaning as output increases, more inputs are needed at an increasing rate, leading to a total cost curve that increases at an increasing rate.

Figure 12-2 -Refer to Figure 12-2.The Graph Illustrates a Typical Production Function.Based