Economies of Scale Can Be Defined As

question 68

Multiple Choice

Economies of scale can be defined as:

• A)Manufacturing progress in technology design and process design
• B)A decrease in unit cost of output due to a larger volume
• C)A proportionate increase in the amount of inputs employed in a product process that results in a lower unit cost
• D)An increase in fixed costs relative to variable costs with a high volume of production

---

Definitions:

Assets

Resources owned by a person or entity that are expected to provide future economic benefits.

Intermediate Microeconomics

A branch of economics dealing with the behavior of individuals and firms in making decisions on the allocation of scarce resources.

Behavioral Economic Explanation

A behavioral economic explanation refers to analysis that incorporates psychological insights into human behavior to explain economic decision-making.

Nash Equilibrium

An idea in game theory that suggests a player cannot improve their situation by changing strategy if every other player's strategy remains the same.