When a firm is experiencing economies of scale, it will:
a. underuse a larger plant size than is indicated by short-run efficiency concerns.
b. underuse a smaller plant than is indicated by short-run efficiency concerns.
c. overuse a larger plant size than is indicated by short-run efficiency concerns.
d. overuse a smaller plant size than is indicated by short-run efficiency concerns.
e. produce at the minimum short-run and long-run average costs.
a
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The concept of ________ explains how trade between two countries can make each better off
A) absolute advantage B) autarky C) trade barriers D) comparative advantage
Your U.S.-based company is selling parts to a company in Chile and the company will pay you 9.8 million pesos in 3 months. The current exchange rate is 490 pesos/US$. If the exchange rate at the time of payment is 510 pesos/US$
A) you earn additional profit. B) the Chilean company will end up paying more for the goods. C) the Chilean company will end up paying less for the goods. D) you earn less profit.
COLA stands for:
A. cost-of-living adjustment. B. cost-of-living aggregate. C. capital operations leasing adjustment. D. capital operations leasing agreement.
Why should consumers be concerned about collusive agreements? What legal remedies are available now?