If a Firm Enlarges Its Factory Size and Realizes Higher

question 64

Multiple Choice

If a firm enlarges its factory size and realizes higher average (per unit) costs of production then:

• A) it has experienced economies of scale.
• B) it has experienced diseconomies of scale.
• C) it has experienced constant returns to scale.
• D) the long-run average cost curve slopes downward.
• E) the long-run average cost curve shifts upward.

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Definitions:

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A state of being comfortable, healthy, or happy, often considered holistically including physical, mental, and emotional health.

Hot

Often refers to a high temperature, but in psychology, it can relate to topics that are emotionally charged or controversial.

Hippocampus

A region of the brain that plays a major role in learning and memory.

Memory

The faculty by which the mind stores and remembers information, enabling learning and retention of experiences and knowledge.