When Diseconomies of Scale Occur

question 299

Multiple Choice

When diseconomies of scale occur:

• A)long-run average cost rises.
• B)marginal cost declines.
• C)average total cost declines.
• D)average variable cost declines.

---

Definitions:

Resource-Holding Potential

Resource-holding potential is an individual animal's ability to acquire and defend resources against competitors, often influencing mating success.

Preferred Habitat

The specific environment or type of area that an organism chooses to dwell in, often characterized by optimal availability of resources, shelter, and mates.

Dear Enemy Effect

A phenomenon in which territorial animals show reduced aggression towards familiar neighbors compared to unfamiliar ones.

Territorial Males

Males that establish and defend a specific area from others of the same species, often to secure mating rights with females within the territory.