)when an isocost line is just tangent to an isoquant, we know that: a) output is being produced at minimum cost. b) the two products are being produced at the highest input cost to the firm. c) the two products are being produced at the least input cost to the firm. d) output is not being produced at minimum cost.

d. all of the above are true.

a.

answersecondary succession;

the answer is "b.the increased supply will create a surplus. "

the essential thought behind price controls is straightforward - utilize the power of law to modify the equilibrium of a market. for instance, the legislature may choose that the steel business needs to survive, and in this way pass a law to set a value floor on steel. this implies all steel sold must offer at or over the floor value, which must be set over the equilibrium cost for it to have any impact. the switch could likewise happen - the administration can choose that steel is excessively costly and set a value roof underneath its equilibrium value, with the goal that all steel must be sold at or beneath that ceiling.