If long-run average total cost decreases as the quantity of output increases, the firm is experiencing
a. economies of scale.
b. diseconomies of scale.
c. coordination problems arising from the large size of the firm.
d. fixed costs greatly exceeding variable costs.
a
Economics
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Which of the following is infrastructure?
a. IBM computer plant. b. Training and education. c. Services of doctors. d. None of these.
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The marginal revenue product of capital is not the
a. change in total revenue when one more unit of labor is hired b. change in total revenue that results from adding one more unit of loanable funds to production c. marginal contribution of capital to total revenue d. firm's demand for capital curve e. marginal physical product of capital multiplied by the price of the good
Economics