Mondo's Microbrewery is growing rapidly. As a result of achieving larger size, the firm realizes it needs to hire quite a few additional employees and upgrade its brewing and bottling equipment, which increases its average costs. The best explanation for these events is that Mondo's Microbrewery is experiencing ________ returns to scale.

A. constant
B. increasing
C. decreasing
D. first decreasing and then increasing


Answer: C

Economics

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Economists view pollution as an economic problem that arises because:

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Economics