As a Firm Increases Its Output,its Average Total Cost Decreases

question 256

Multiple Choice

As a firm increases its output,its average total cost decreases.This is an outcome of ________.

• A) the law of demand
• B) economies of scale
• C) diseconomies of scale
• D) the law of diminishing returns

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Definitions:

Class Discussion

An interactive session in an educational setting where students and teacher engage in dialogue covering specific topics or materials.

Diversion

The fallacy of trying to support one proposition by arguing for another proposition.

Argument

A rationale or series of arguments presented with the goal of convincing others of the validity or fallacy of a certain action or idea.

Appeal to Ignorance

A fallacy that asserts a proposition to be true because it has not been proved false or vice versa.