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Describe panic disorder and specific phobia. Illustrate how biological and psychological factors contribute to the development of these disorders.
Long-run Average Total Cost
The cost per unit of output incurred when all factors of production, including physical capital, are variable.
Minimum Efficient Scale
The smallest level of production at which a firm can achieve the lowest long-run average total costs.
Constant Returns to Scale
A situation in which the proportionate increase in inputs leads to an equal proportionate increase in outputs, meaning costs and outputs scale equally as production expands.
Diseconomies of Scale
A situation where a business's cost per unit increases as it produces more items, due to inefficiencies that arise with scaling up production.
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