If the Long-Run Average Total Cost Curve Is Downward-Sloping, Then

question 69

True/False

If the long-run average total cost curve is downward-sloping, then the firm is experiencing decreasing returns to scale.

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Definitions:

Distributed

The process or state of spreading or dispersing something more widely.

Principal

In legal terms, the main party involved, such as the primary person in a contract or the person who grants authority in a power of attorney.

Agent

A person or entity authorized to act on behalf of another, typically in business or legal matters, and make decisions or take action.

Reimburse

To pay back or compensate for money spent or losses incurred.