Long-run diseconomies of scale exist over the range of output for which the long-run average total cost curve

If a firm decreases its plant size and finds that its long-run average costs have decreased, then

A) the firm should reduce its plant size even more. B) its labor is more productive in a smaller plant. C) its diseconomies of scale are less. D) the firm is now profitable.

According to the kinked demand curve model, regardless of whether a firm increases or decreases price, its total revenues will decrease as a result of the price change

Indicate whether the statement is true or false