Economies of Scale, Constant Returns to Scale and Diseconomies of Scale

question 217

Multiple Choice

Economies of scale, constant returns to scale and diseconomies of scale account for the shape of the __________ cost curve.

• A)average variable
• B)average fixed
• C)long-run average total
• D)short-run average total
• E)marginal

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Definitions:

Reinforcer

In behavior psychology, any stimulus which strengthens or increases the probability of a specific response or behavior.

Observing Others

The act of watching the behaviors, actions, or reactions of individuals or groups to learn, analyze, or make inferences about them.

Unlearned Response

A natural, innate reaction to a stimulus that occurs without the need for prior experience or learning.

Classical Conditioning

A learning process that pairs a neutral stimulus with an unconditioned stimulus to trigger an involuntary response.