An internal economies of scale is defined as
A) one whose size or scale effects are not located in the firm, but in the industry.
B) one with falling costs over a specific level of output.
C) one with falling costs over a relatively large range of output.
D) one with falling costs over a relatively large range of output, but definite declining profits.
C
You might also like to view...
Suppose two individuals, Pooh and Piglet, desire protection (provided by Tigger) for their community, The Hundred Acre Wood, from heffalumps. Protection is a public good
The marginal cost of protection as well as Piglet's and Pooh's marginal benefits from protection are in the table above. What is the quantity of protection that achieves the maximum net benefit? A) 1 hour per day B) 2 hours per day C) 3 hours per day D) 4 hours per day
Adjustments to GDP to account for environmental impacts is
a. ecodevelopment b. sustainable growth c. externalities d. environmental accounting e. none of the above
The parameters estimated using econometric methods are generally used for _____ or _____.
a. testing hypotheses; predicting b. validation; repudiation c. confirming; denying effects of policy d. generating data; probability distributions
A new industry develops, and our government wants to protect it from foreign competition. Which one of the following arguments would appropriately describe this type of protection?
A) national security B) cartelization C) infant industry D) protecting American jobs