Answered: 37. The iso revenue function will shift…

37. The iso revenue function will shift up parallel: a. If the prices of one product increases. b. If the prices of inputs increase. Ca If the revenue is increased. d. All of the above are cotrect

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter12: The Cost Of Production

Section: Chapter Questions

Problem 4QR

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Concept explainers

Profit Maximization

Economic activity is related to the use of scarce resources of the economy that are used for producing goods and services which are required to satisfy various demands of the people. In other words, it can be said that it is all about satisfying the unlimited demands of individuals with the limited resources available. The production decision is taken by the producers or the firms. In economics, the terms ‘producers’, ‘suppliers’, and ‘firms’ are interchangeable. Now the question arises, what does a firm actually mean?

Question

37. The iso revenue function will shift up parallel:
a. If the prices of one product increases.
b. If the prices of inputs increase.
Ca
If the revenue is increased.
d. All of the above are cotrect

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