Suppose That as a Firm Expands and Notices That Its

question 70

True/False

Suppose that as a firm expands and notices that its long-run average total costs are declining.The most likely explanation for this is economies of scale.

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Definitions:

Operant Conditioning

A learning process in which the strength of a behavior is modified by reinforcement or punishment, a key concept in behavioral psychology.

Favorable Consequences

Outcomes or results of an action that are beneficial or advantageous.

Unfavorable Consequences

Negative outcomes or penalties resulting from actions or behaviors that are often used to discourage those actions or behaviors.

Operant Conditioning

A learning process in which the strength of a behavior is modified by the behavior's consequences, such as rewards or punishments.