When Economies of Scale Exist

question 97

Multiple Choice

When economies of scale exist,

• A)production costs per unit increase as output expands.
• B)production costs per unit decline as output expands.
• C)total production costs decrease.
• D)total production costs increase.

---

Definitions:

Richard Walton

A figure associated with theories or concepts in organizational behavior or management, but requires further context for a specific definition.

Diffusion

The mechanism through which an inventive idea is transmitted over time through selected routes among members of a societal system.

Complex Innovations

Advanced, intricate changes or improvements in processes, products, or systems that often require significant understanding and adaptation.

Diffusion

The method whereby a new idea is spread via specific pathways over a period among individuals within a social network.