Typically a graph of which economic concepts slopes upward and to the right when graphed in relation to quantity of output?

Typically a graph of which economic concepts slopes upward and to the right when graphed in relation to quantity of output?

• A. Market supply
• B. Total variable cost
• C. Total costs
• D. All of the above

Answer: (D)

When you look at how different economic quantities change as you produce more, you typically see a positive relationship. As output rises, you need more inputs, so total variable cost climbs. Since total cost equals fixed cost plus variable cost, total cost also increases with output, and its slope is tied to marginal cost. The market supply relationship also shows more production at higher prices, so when you graph quantity on the horizontal axis, the curve moves upward and to the right. Because each of these graphs tends to rise as output increases, all of the above are correct.

When you look at how different economic quantities change as you produce more, you typically see a positive relationship. As output rises, you need more inputs, so total variable cost climbs. Since total cost equals fixed cost plus variable cost, total cost also increases with output, and its slope is tied to marginal cost. The market supply relationship also shows more production at higher prices, so when you graph quantity on the horizontal axis, the curve moves upward and to the right. Because each of these graphs tends to rise as output increases, all of the above are correct.