8. As the output increases, and assuming there is a positive fixed cost, a. the average fixed cost becomes larger b. the price at which the firm can sell its output approaches infinity c. the average and average variable cost curves turn from positively sloped to negatively sloped d. the vertical distance between the average cost and the average variable cost decreases 11. Ceteris paribus, an increase in the input prices a. shifts the production function and shifts the supply curve b. shifts the production function but has no effect on the supply curve c. has no effect on the production function but shifts the supply curve has no effect on the production function and has no effect on the supply curve d. 14. In a Nash equilibrium, b. a. the payoffs to all players are the largest possible everyone must send some money to John Nash c. no player can unilaterally increase his or her payoff d. the outcome must be inefficient