If a firm enlarges its factory size and realizes higher average 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.
Answer: B
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A decrease in foreign income ________ exports of U.S.-made goods, so aggregate demand ________ and the aggregate demand curve shifts ________
A) increases; increases; rightward B) decreases; decreases; leftward C) decreases; increases; rightward D) increases; increases; leftward E) decreases; decreases; rightward
The larger the value of U.S. imports, the greater the quantity of ________ causing the quantity supplied of dollars to ________
A) U.S. dollars demanded; increase B) U.S. dollars demanded; decrease C) foreign currency demanded; increase D) foreign currency demanded; decrease
If the long-run supply curve in a perfectly competitive industry is upward sloping, this is because
A) firms are different. B) firms are identical. C) input prices rise as the industry expands. D) Either A or C.
The owner of a sole proprietorship has limited liability, while stockholders of corporations have unlimited liability
a. True b. False Indicate whether the statement is true or false