If Output Is Increased in the Long Run, Average Production

question 33

Multiple Choice

If output is increased in the long run, average production costs in the presence of internal economies of scale will ________, and in the presence of external economies of scale, will ________.

• A) increase; decrease
• B) increase; remain constant
• C) remain constant; increase
• D) decrease; decrease
• E) decrease; remain constant

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Definitions:

Specimen

A sample or part taken from a whole to be tested or studied, often used in medical and scientific contexts.

Slide

A small piece of glass used to hold specimens for examination under a microscope; or a playground equipment that children can slide down.

Nucleic Acid

A complex organic substance present in living cells, especially DNA or RNA, whose molecules consist of many nucleotides linked in a long chain.

Protein Coat

A protective layer surrounding the genetic material of a virus, known as a capsid, which helps in attaching the virus to host cells and facilitating viral entry.