Exhibit 7-5 Workers and output data In Exhibit 7-5, diminishing returns set in when the ____ worker is hired.

As one moves down a straight-line, down-sloping demand curve, price elasticity will:

If a firm enlarges its factory size and realizes higher average costs of production then:

In the case of negative externalities in production, the firm’s production costs:

Mikaela considers lattes and coffee to be good substitutes. Suppose the price of milk, a key ingredient used to produce lattes, falls. According to the income effect, which of the following is most likely to occur?

Monetary payments to nonowners of a firm are called:

An increase in demand:

Economies of scale are created by greater efficiency of capital and by:

If the price elasticity of supply coefficient is greater than one, then supply is:

If an increase in the government-imposed minimum wage pushes the price (wage) of unskilled labor above market equilibrium, which of the following will most likely occur in the unskilled labor market?