Question: Marginal Revenue Elasticity formula is given as Answer:P1 1e Question: A table showing how much of goods firms will sell at different prices is called Answer:Supply schedule Question: The Law of states that the marginal product of a variable input will eventually fall if that input is used with one or more fixed input Answer:Law of Diminishing Return Question: The Marginal Rate of Technical Substitution is Answer:The rate at which one input can be substituted for another while output remains constant Question: Marginal Product of Labour is defined as Answer:The rate of change of output with respect to change in labour while the amount of all other inputs remains constant Question: A frontier showing all possible combinations of utility for two consumers when the economy is efficient in both production and consumption is known as Answer:Grand Utility Possibilities Frontier Question: Quantity of goods supplied is related to price Answer:Positively Question: A proportionate change in the quantity demanded of good X due to a proportionate change in the price of good Y is referred to as Answer:Cross Elasticity Question: A measure of the responsiveness of demand to changes in the commoditys own price is referred to as Answer:Price elasticity of demand Question: In production a period of time in which all of the inputs in a firms production function can be changed in amount is referred to as Answer:Long run Period Question: A production firms cost that changes in proportion with its level of output is referred to as Answer:Variable Cost Question: Isoquants are negatively sloped Meaning they are Answer:Downward Sloping Question: A reduction in price will increase total revenue when demand is Answer:Elastic Question: costs are the costs of using firm owned resources Answer:Implicit Question: The price ceiling produces the quantity exchanged in the market and creates Answer:Shortage Question: A concept used to quantify the response in one variable when another variable changes is referred to as Answer:Elasticity Question: The quantity that consumers are willing and able to buy at each price is calledat that price Answer:Quantity Demanded Question: Which of these is used to calculate elasticity between two points on a demand schedule or curve Answer:None of the above Question: The marginal average relationship states that when a marginal value is above its corresponding average value the average value will rise When the marginal is below the average the average value will Answer:Fall Question: Change in costs input prices technology or prices of related goods and services leads to change in Answer:Price Question: Percentage change in quantity demanded due to percentage change in price is referred to as Answer:Price Elasticity Question: the locus of Pareto optimal efficient points in an Edgeworth Box diagram is referred to as Answer:Contract Curve Question: The law of supply states that Answer:An increase in market price will lead to an increase in quantity supplied Question: The relationship between the quantity of goods supplied and price is said to be Answer:Positive Question: Costs that changes with a firms output level are termed Answer:Variable Cost Question: At the point where Total Product is at maximum Marginal Product is Answer:Zero Question: Which of these will lead to a change in quantity supplied Answer:Staff Wage Question: is used to calculate elasticity between two points on a demand schedule or curve Answer:None of the options Question: A tax or levy assessed on a particular product such as liquor is referred to as Answer:Excise Tax Question: The rate at which one input can be substituted for another while output remains constant Answer:Marginal Rate of Technical Substitution Question: The locus of Pareto optimal efficient points in an Edgeworth Box diagram is referred to as Answer:Contract Curve Question: A statement of tendencies is referred to as Answer:Law Question: The quantity that consumers are willing and able to buy at each price is referred to as Answer:Quantity Demanded Question: A concept that can be used to quantify the response in a variable due to change in another variable is termed Answer:Elasticity Question: The relationship between quantity of goods supplied and price is said to be Answer:Positive Question: A cost that changes with a firms level of output is referred to as Answer:A: Variable Cost Question: If X and Y are complementary Cross Elasticity is Answer:Negative Question: A change in total revenue for a unit change in quantity sold is referred to as Answer:Marginal Revenue Question: The proportionate change in the quantity demanded of good X resulting from a proportionate change in the price of good Y is referred to as Answer:Cross Elasticity of Demand Question: A normal supply curve slopes Answer:Upward Question: At the point where Total Product is maximum Marginal Product is Answer:Zero Question: The process by which inputs are combined transformed and turned into output is referred to as Answer:Production Question: An increase in market price will lead to an increase in Answer:Quantity Supplied Question: A curve that shows all the combinations of inputs that yield the same level of output is referred to as Answer:Isoquant