What did the 1958 Treaty of Rome establish?

If firms receive an economic forecast predicting future increases in the growth of real GDP, they are likely to respond by

A) increasing their level of investment spending to increase future production capacity. B) decreasing their level of investment spending to decrease current production capacity. C) increasing their level of investment spending to increase current production capacity. D) decreasing their level of investment spending to decrease future production capacity.

Economies of scale can

A) result in an increasing cost industry. B) cause input prices to drop. C) prevent the entry of new firms into a market. D) reduce the rate of return which the firm may earn.