Economies of Scale Occur When

question 132

Multiple Choice

Economies of scale occur when

• A)long-run average total costs rise as output increases.
• B)long-run average total costs fall as output increases.
• C)average fixed costs are falling.
• D)average fixed costs are constant.

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Definitions:

Create Corporations

The act of establishing a company or business entity recognized by law as a single entity.

Economic Infrastructure

The underlying economic systems and structures that support economic activity, such as transportation networks, telecommunications, utilities, and financial institutions.

Factory Workers

Individuals employed in industrial or manufacturing settings, responsible for operating machinery, assembling products, or performing tasks related to the production of goods.

Labor Force

The total number of people who are of working age, being able and willing to work, including those who are employed and those who are seeking employment.