If a more efficient technology was discovered by a firm, there would be:

Related MCQs

• Suppose that a firm produces 200,000 units a year and sells them all for Rs.10 each. The explicit costs of production are Rs.1,500,000 and the implicit costs of production are Rs. 300,000. The firm has an accounting profit of:
• Which would be an implicit cost for a firm? The cost:
• Which of the following statements best describes the general form of a production function: (i) It is a purely technological relationship between quantities of input and quantities of output. (ii) It represents the technology of an organisation, sector of an economy. (iii) Prices of inputs or of the output do not enter into the production function. (iv) It is a flow concept describing the transformation of inputs into output per unitof time.
• If a firm's revenues just cover all its opportunity costs, then:
• Suppose a firm sells its product at a price lower than the opportunity cost of the inputs used to produce it. Which is true?
• With fixed costs of Rs. 400, a firm has average total costs of Rs. 3 and average variable costs of Rs. 2.50. Its output is:
• The reason the marginal cost curve eventually increases as output increases for the typical firm is because:
• If the short-run average variable costs of production for a firm are rising, then this indicates that:
• A firm encountering economies of scale over some range of output will have a:
• In economic theory the costs of a firm