If We Know That a Firm Is Experiencing Diseconomies of Scale,which

question 57

Multiple Choice

If we know that a firm is experiencing diseconomies of scale,which of the following statements is true?

• A)The firm is operating on the upward-sloping segment of its LRAC curve.
• B)The firm is experiencing increasing returns to scale.
• C)Both pecuniary and technical economies of scale must be present.
• D)If all inputs were increased by 10% then output would rise by more than 10%.
• E)The firm is also experiencing diminishing marginal returns.

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Definitions:

Cardiac Output

The volume of blood the heart pumps through the circulatory system in one minute, a critical parameter for understanding heart function.

Pulmonary Blood Flow

The circulation of blood from the heart to the lungs and back, where blood is oxygenated and carbon dioxide is removed.

Tetralogy of Fallot

A congenital heart defect comprised of four anatomical abnormalities of the heart, affecting normal blood flow through the heart.