When Returns to Scale Are Increasing, Long Run Marginal Cost

question 72

Multiple Choice

When returns to scale are increasing, long run marginal cost is:

• A)equal to long run average cost.
• B)greater than long run average cost.
• C)at its minimum.
• D)less than long run average cost.

---

Definitions:

Tire Size Markings

Notations on a tire sidewall indicating its dimensions, load capacity, speed rating, and other characteristics.

Indirect TPMS

Type of Tire Pressure Monitoring System that uses wheel speed sensors of the anti-lock brake system to monitor the relative rotational speed of the tires to infer pressure loss, rather than measuring the pressure directly.

Direct TPMS

A Tire Pressure Monitoring System that uses sensors within the tires to monitor and report the tire's pressure directly.

Antilock Brake System

A safety system that prevents the wheels from locking up during braking, ensuring that the vehicle maintains steering control.