If a firm enlarges its factory size and realizes higher average (per unit) costs of production then:

a. it has experienced economies of scale.
b. it has experienced diseconomies of scale.
c. it has experienced constant returns to scale.
d. the long-run average cost curve slopes downward.
e. the long-run average cost curve shifts upward.


b

Economics

You might also like to view...

In the personal computer market, some large manufacturers are able to buy computer components (e.g., disk drives, flat-screen monitors, and memory chips) and software at lower prices than smaller firms in the market

This outcome indicates that the large firms enjoy some degree of ________ in this market. A) monopoly power B) oligopoly power C) oligopsony power D) monopsony power

Economics

If your income goes up by 2% and, in response, the quantity demanded of good x rises by 3%, good x can be considered

a. An inferior good b. A normal good c. A public good d. A private good

Economics

Which of the following is closest to the future value of a $40,000 deposit earning 3 percent interest annually after 5 years?

A. $41,282 B. $46,021 C. $46,371 D. $41,150

Economics

The largest merger in the history of the world was between _______ and _________.

Fill in the blank(s) with the appropriate word(s).

Economics