Figure 8-13 -Movement from Point B to Point C in Figure 8-13

question 122

Multiple Choice

Figure 8-13
-Movement from point b to point c in Figure 8-13 indicates that the firm is experiencing

• A) economies of scale.
• B) increasing average cost.
• C) economies of cost.
• D) a decrease in average plant size.
• E) diseconomies of scale.

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Definitions:

Industrialization

The process of transforming economies from primarily agricultural to one based on the manufacturing of goods, involving mechanization and factory production.

Agricultural Producers

Farmers and ranchers who engage in the cultivation of plants and rearing of animals for food and other products.

Owners And Workers

Used to describe the two key groups within a capitalist economic system: those who own the means of production and the employees they hire.

Strikes

Work stoppages caused by the mass refusal of employees to work, usually in protest against working conditions, policies, or other labor issues.