Which of the Following Explains Why Long-Run Average Cost at First

question 414

Multiple Choice

Which of the following explains why long-run average cost at first decreases as output increases?

• A)diseconomies of scale
• B)less-efficient use of inputs
• C)fixed costs becoming spread out over more units of output
• D)gains from specialization of inputs

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Definitions:

GEO

Geostationary Earth Orbit, a circular geosynchronous orbit directly above the earth's equator and following the direction of the earth's rotation.

LEO

Low Earth Orbit, an orbit around Earth at an altitude between about 160 kilometers and 2,000 kilometers, commonly used for satellites, including those for communication and earth observation.

MEO

Medium Earth Orbit, a term used in satellite communications to describe the orbit of satellites located approximately 2,000 to 35,786 kilometers above the earth's surface.

GPS System

Global Positioning System, a satellite-based navigation system used to determine the precise location of an object or person on Earth.