If a company triples its output and its average cost decreases, then the firm is definitely experiencing
A) diseconomies of scale.
B) decreasing marginal returns.
C) increasing marginal returns.
D) economies of scale.
E) Both answers C and D are correct.
D
Economics
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The table above shows a production possibilities frontier for an economy. If the economy tried to produce a combination of 250 loaves of bread and 800 books,
A) there is some unemployment. B) it cannot produce this combination because it lacks enough resources or technology. C) it is enjoying a free lunch. D) the tradeoff between bread and books is inefficient. E) there is full employment.
Economics
Centrally planned economies like China produce relatively little pollution.
Answer the following statement true (T) or false (F)
Economics