A Very- Long- Run Consideration That Could Change a Firm's

question 42

Multiple Choice

A very- long- run consideration that could change a firm's production function is

• A)increasing returns to scale of operation.
• B)size of the plant.
• C)diminishing returns.
• D)rising cost of the factors of production.
• E)an improvement in education that increases the quality of the economy's labour force.

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Definitions:

Compromise

A mutual agreement reached by each party making concessions to resolve a dispute or difference.

Individual Problem Solving

A process wherein an individual uses reasoning and analytical abilities to find solutions to problems without external help.

Poor Coordination

Refers to an inefficient alignment or integration of activities, tasks, or efforts among members of a group, team, or organization, leading to suboptimal outcomes.

Creativity

The use of imagination or original ideas to create something; inventiveness.