Use the Following Statements to Answer This Question: I

question 55

Multiple Choice

Use the following statements to answer this question: I. The scale economies index is positive if the cost-output elasticity that is greater than one.
II) A negative scale economies index indicates the presence of diseconomies of scale.

• A) I and II are true.
• B) I is true and II is false.
• C) II is true and I is false.
• D) I and II are false.