When an Increase in a Firm's Scale of Production Leads

question 145

Multiple Choice

When an increase in a firm's scale of production leads to higher average costs it is referred to as:

• A)economies of scale.
• B)constant returns to scale.
• C)decreasing returns to scale.
• D)diseconomies of scale.

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Definitions:

Kenneth Thimann

A renowned botanist and biochemist, best known for his work in plant physiology, particularly in the discovery of auxins, a class of plant growth hormones.

Frits Went

A pioneering scientist in botany renowned for his groundbreaking research on the role of plant hormones in growth and development.

Indoleacetic Acid

A natural auxin, which is a class of plant hormones important for various aspects of growth and development, including cell enlargement, division, and differentiation.

Auxin

A class of plant hormones that play a key role in coordinating growth and behavioral processes in the plant's life cycle, such as cell elongation.