Diseconomies of scale occur when
A) long-run average costs fall as a firm expands its plant size.
B) long-run labor costs rise as a firm increases its output.
C) short-run average costs rise as a firm expands its plant size.
D) long-run average costs rise as a firm increases its output.
D
You might also like to view...
Common pool resources differ from pure public goods in that
A) common pool resources are resources that cannot be renewed but the production of pure public goods can be increased at any time. B) common pool resources are nonexcludable while pure public goods are excludable to those who do not pay of the good. C) unlike pure public goods, common pool resources are rival in consumption. D) common pool resources are collectively owned by a group of people while pure public goods are owned by the government.
Make or buy decisions affect the degree of vertical integration
Indicate whether the statement is true or false