In the above figure, between 20 and 25 units per hour, the firm experiences
A) economies of scale.
B) diseconomies of scale.
C) constant returns to scale.
D) increasing total fixed costs.
B
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If you invest in a foreign company by buying 8 percent of its shares of stock, you have engaged in
A) moral hazard. B) foreign direct investment. C) portfolio investment. D) adverse selection.
Which of the following statements applies to a monopolist but not to a perfectly competitive firm at their profit-maximizing outputs?
A) Average revenue equals average cost. B) Marginal revenue is less than price. C) Price equals marginal cost. D) Marginal revenue equals marginal cost.
Prior to 1921, federal agencies first submitted their budgetary requests to _____
a. the President b. the Speaker of the House c. the Congressional Budget Office d. the Treasury Department
Continuing with the same vacation-insurance company from the preceding question, what vacation-day price(s) would be acceptable to both the family and the insurance company?
a. 2 only b. 3 only c. 2 or 3 d. 4