If a Firm Experiences Economies of Scope,_____

question 49

Multiple Choice

If a firm experiences economies of scope,_____

• A)its average cost falls as output increases.
• B)its average cost rises as output increases.
• C)its average total cost falls when it produces more than one kind of product.
• D)it gains larger profits through vertical integration.
• E)its average total cost rises as it produces more than one kind of product.

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Definitions:

Kyphosis

A condition characterized by an excessive outward curvature of the spine, causing hunching of the back.

Lumbar

Relating to the lower region of the back between the ribs and the pelvis.

-Malacia

A suffix denoting a pathological softening of tissues, commonly used in medical terms.

-Penia

A suffix meaning deficiency or lack of something, commonly used in medical terminology, such as leukopenia (deficiency of white cells in the blood).