_____________ Is the Amount of One Commodity That a Nation

question 15

Multiple Choice

_____________ is the amount of one commodity that a nation must give up to produce each additional unit of another.

• A)marginal cost
• B)marginal rate of transformation (MRT)
• C)production frontier
• D)marginal rate of return

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Definitions:

Industry

A group of companies that produce similar products or services and compete in the same market.

Diseconomies of Scale

Increases in cost per unit when output increases, resulting from factors such as management challenges, inefficiencies, and communication problems as firms grow larger.

Large-Scale Business

An enterprise or organization that operates on a significant scale, typically involving extensive operations, large numbers of employees, or substantial revenue.

Diseconomies of Scale

The phenomenon where production costs increase as a firm or industry grows, leading to reduced efficiency and higher per-unit costs.