Which of the Following Is Guaranteed by Increasing Returns to Scale

question 75

Multiple Choice

Which of the following is guaranteed by increasing returns to scale in production experienced in the long run?

• A)Negative marginal costs
• B)Zero average costs
• C)Declining average costs
• D)Rising marginal costs

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Definitions:

Reciprocity

A mutual exchange of privileges or benefits, as in the mutual reduction of tariffs or the return of favors between individuals or states.

Conventional Morality

Refers to a level in moral development where individuals adhere to rules and norms, particularly those valued in their society or by authority figures, to maintain social order and gain approval.

Kohlberg's Theory

A theory of moral development presented by Lawrence Kohlberg, which proposes that individuals progress through different stages of moral reasoning.

Society

A group of individuals involved in persistent social interaction, or a large social group sharing the same geographical or social territory, typically subject to the same political authority and dominant cultural expectations.