External Economies of Scale Arise When the Cost Per Unit

question 25

Multiple Choice

External economies of scale arise when the cost per unit

• A) falls as the industry grows larger and rises as the average firm grows larger.
• B) rises as the industry grows larger and falls as the average firm grows larger.
• C) falls as the industry and the average firm grows larger.
• D) remains constant over a broad range of output.
• E) rises as the industry and the average firm grows larger.

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Definitions:

Conformity

The act of matching attitudes, beliefs, and behaviors to group norms, values, or expectations.

High Status

A position of authority or elevated standing in a social, professional, or other hierarchy.

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The extent to which an individual feels they can influence or shape the outcomes in their life.

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Behaviors or norms that are anticipated and considered appropriate within a given society or cultural context.