As Diseconomies of Scale Begin to Outweigh the Economies of Scale

question 59

Multiple Choice

As diseconomies of scale begin to outweigh the economies of scale,

• A)the long-run average cost curve begins to slope upward.
• B)the long-run average cost curve begins to slope downward.
• C)the long-run average cost curve becomes horizontal and continues this way into infinity.
• D)the long-run average cost curve is unaffecteD.

Evaluate the impact of external factors, such as technological advancements and occupational trends, on labor demand.

Understand the implications of fixed proportions in the use of labor and capital on the demand for labor.

Understand the factors that cause shifts in labor demand.

Comprehend the impact of technological changes on labor demand and productivity.

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Definitions:

Social Exchange Relationships

A theory that explains how human relationships are formed and maintained based on an exchange process aiming at maximizing benefits and minimizing costs.

Leader-Member Exchange Theory

A theory that emphasizes the two-way (dyadic) relationship between leaders and followers, proposing that the quality of this relationship influences outcomes.

Work-Related Matters

Issues, tasks, or topics that are directly connected to one's job or professional activities.

Charismatic Leaders

Individuals who inspire and motivate followers through their personal vision, communication skills, and inherent charm, often leading to strong devotion or loyalty.