What does marginal cost measure?
A
Marginal revenue is the addition to total revenue from selling one more unit.
B
Marginal cost is the addition to total cost from producing one more unit.
C
Fixed cost is the cost that changes when one more unit is produced.
D
Average cost is total cost divided by quantity produced.
7.3.2 conditions for productive efficiency and allocative efficiency Flashcards
25 flashcards on CIE Intl A Level Economics 7.3.2 conditions for productive efficiency and allocative efficiency: the key terms and definitions you need to recall.