Economies of Scale Exist

question 10

Multiple Choice

Economies of scale exist

• A) only for monopolists.
• B) when long-run average total costs increase.
• C) when long-run average total costs decrease.
• D) when long-run average total costs are constant.
• E) when governments create barriers to entry.

---

Definitions:

Salary

A fixed amount of money paid to an employee, usually on a monthly or annual basis, in exchange for their work.

Compensable Factors

Characteristics of a job that are used to determine its value and appropriate compensation, such as skill level and responsibility.

Point System

A form of job evaluation that assesses the relative importance of the job’s key factors in order to arrive at the relative worth of jobs.

Compensation Information

Data and details regarding the pay rates, bonuses, benefits, and other forms of remuneration provided to employees for their services.