Question

In the graph blow, the blue curves illustrates a с Quantity of Output Quantity of the Variable Input long-run average cost curve. total cost curve. total product curve. marginal cost curve. supply curve.

Answer 1

2.1 obtion (C) Total product curve is the right anwen. Rotal product the firm autput and product explains short run output of As you con see in the both ani's By axis shows Quantity of n-axis shows voiable inputs. some inputs lined and are variable. The Therefore Potal product curve explains what happens to Total product of firm when we increase yariable inputs while keeping fixed input constant. As we know that in short run are Some inputs 0:2 option CD) is the correct answers (Diminighing morginal reforne) According to the low variable proportion we & keep employing variable inputs keeping fixed inputs constants. Then product of the firm increases at an increasing rate (point A) it increases at the decrosii oosing rate (diminishing marginal returns) point (B). Total and the the after point (point B)