Many mining and mineral extraction processes tend to exhibit increasing returns to scale
Suppose copper mines have increasing returns, and the existing copper mines reduce their capital and labor inputs by 25 percent in response to a global recession. What is the expected impact on copper output? A) Output increases by less than 25 percent
B) Output decreases by less than 25 percent
C) Output decreases by exactly 25 percent
D) Output decreases by more than 25 percent
D
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Refer to the below graphs. (Assume that the pre-migration labor force in Country A is 100 and that it is 150 in country B.) After immigration occurs, total business income in country B:
A. Increases by $475M
B. Increases by $50M
C. Decreases by $50M
D. Decreases by $475M
Identify the correct statement
a. A monopolist's pricing decision is limited by the demand for its product. b. A monopolist is able to choose any price and quantity combination that it desires. c. A monopolist can increase its profits by increasing price if the demand for its good is relatively elastic. d. A monopolist does not suffer losses even in the short run. e. A monopolist is not able to reap positive profits in the long run.
Statistical Murder
What will be an ideal response?
Markets characterized by declining long-run average costs are often referred to as
A. natural monopolies. B. diseconomies of scale. C. perfect competition. D. nonprofit organizations.