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A participant is trying to memorize the word "parade." To help herself, she thinks about the word within a complicated sentence: "From their third-floor apartment, they had a great view of all the bands, the cowboys, and the floats in the Thanksgiving parade." This learning strategy will produce
Diseconomies of Scale
The phenomenon where, as a firm scales up its production, the per unit cost starts to increase, typically due to inefficiencies.
Economies of Scale
Economies of scale occur when a company reduces costs per unit due to an increase in production, typically achieved through operational efficiency and larger volume production.
Constant Returns to Scale
A situation in production where increasing all inputs by a certain factor results in output increasing by the same factor, indicating proportionate scalability.
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