The Minimum Efficient Scale Is the Smallest Quantity of Output

question 41

Multiple Choice

The minimum efficient scale is the smallest quantity of output at which

• A)the long-run average cost curve reaches its lowest level.
• B)the average total cost curve reaches its lowest level.
• C)the average fixed cost curve reaches its lowest level.
• D)economies of scale begin.
• E)diminishing returns begin.

---

Definitions:

Modeling

The process of observing and imitating specific behaviors from others as a form of learning.

Naturalistic Observation

A type of correlational study in which some naturally occurring behavior is observed without intervention in the situation.

Behavior

The way in which an organism acts or conducts itself, especially in response to its environment.

Evolutionary Perspective

The evolutionary perspective examines how the process of evolution has shaped the behavior, structure, and functions of living organisms.