If a Firm Enlarges Its Factory Size and Realizes Higher

question 71

Multiple Choice

If a firm enlarges its factory size and realizes higher average costs of production then:

• A) it has experienced economies of scale.
• B) it has experienced diseconomies of scale.
• C) it has experienced constant returns to scale.
• D) the long-run average cost curve slopes downward.

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Definitions:

Seizure Disorder

A neurological condition characterized by sudden, uncontrolled electrical disturbances in the brain, leading to changes in behavior, movements, or consciousness.

War Time Injury

Physical or psychological damage incurred by individuals during armed conflict.

Proactive Interference

A phenomenon where older memories interfere with the retrieval of newer memories.

Reality Monitoring

The psychological process that distinguishes between internally generated and externally derived perceptions.