Eddys' Electronics found that instead of producing a dvd player and a gaming system separately, it is cheaper to incorporate dvd playing capabilities in their new version of the gaming system. Eddy's is taking advantage of
a. Economies of Scale
b. Learning curve
c. Economies of Scope
d. Decreasing marginal costs
c
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In the 18th century, Southern tobacco planters found that the use of ____________ was economical once the plantation reached a certain size
a. horses b. a plantation manager c. indentured servants d. an iron plow
John is trying to decide whether to expand his business or not. If he continues his business as it is, with no expansion, there is a 50 percent chance he will earn $100,000 and a 50 percent chance he will earn $300,000. If he does expand, there is a 30 percent chance he will earn $100,000, a 30 percent chance he will earn $300,000 and a 40 percent chance he will earn $500,000. It will cost him $150,000 to expand. The expected value of John's earnings if he chooses not to expand is:
A. $250,000. B. $200,000. C. $400,000. D. $225,000.
Use the following table for a hypothetical single-product economy. year units of output price per unit price index (1=100) 1 10 10 100 2 12 20 200 3 15 30 300 4 20 40 400 Refer to the above data. Nominal GDP in year 3 is:
a) $100. b) $450. c) $225. d) $150.
Consider a market characterized by the following demand and supply conditions: PX = 50 - 5QX and PX = 32 + QX. The equilibrium price and quantity are, respectively,
A. $82 and 50 units. B. $20 and 6 units. C. $3 and 35 units. D. $35 and 3 units.