Economies of scale exist when
a. long-run average costs decline as output increases.
b. long-run average costs are constant.
c. long-run average costs increase as output increases.
d. short-run average costs decline.
e. short-run average costs increase.
A
You might also like to view...
The burning of fossil fuels may cause global warming. Considering both the science and the reactions of crops, human health, and other factors across differing climates, economists generally agree that
a. to protect the interests of future generations, the buildup of carbon dioxide must soon be stopped. b. any climate change, if it actually occurs, will be extremely costly. c. there will be both costs and benefits if the climate warms. d. all people will be worse off if the climate warms.
Refer to the data. If the firm closed down in the short run and produced zero units of output, its total cost would be:
A. zero.
B. $50.
C. $150.
D. $100.