Supply Test

Front

According to the law of supply, what happens when the price of a good increases?

Back

Producers supply more of the good.

Front

What is the definition of marginal product?

Back

The change in total product from hiring one more worker

Front

What happens to supply when input costs decrease?

Back

Supply Increases

Front

A government payment that encourages production by partially covering costs is called a _________.

Back

subsidy