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externalising costs of production means to move product out from your company to sub contractor (other companies) and pay then to do the job. In many cases large manufacturing companies (like car manufacturers) will find engineering companies to make may of the parts i.e. the nuts and bolds used to hold body work together rather than did it them selves because if they need to slim down the production they just done order so mush and save money if it were created in the business they would still have plant, machinery and staff standing idle but still having to pay
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What of the following is the most direct cause of cost push inflation?
Rising production costs.
What would lead to an increase in the increase in the inflation rate?
Rapidly rising production costs
What does total cost of production include?
Variable Costs and fixed costs
What is the impact of changes in the marginal cost of labor on a company's overall production costs?
Changes in the marginal cost of labor can significantly impact a company's overall production costs. When the marginal cost of labor increases, it can lead to higher production costs for the company as they have to spend more on labor. Conversely, if the marginal cost of labor decreases, the company's production costs may decrease as well. This relationship between labor costs and production costs is crucial for companies to consider when making decisions about their workforce and production processes.
The law of increasing costs means that when an economy increases the production of one item .?
what law of increasing costs means that when an economy increases the production of one item _____.
