When Firms Become So Large That They Have to Add

question 43

Multiple Choice

When firms become so large that they have to add additional layers of management and decision making becomes more cumbersome,

• A)economies of scale are said to occur
• B)marginal cost begins to fall in the short run
• C)marginal cost begins to rise in the short run
• D)the long-run average total cost curve is flat
• E)the long-run average total cost curve slopes upward

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Definitions:

Neurogenesis

The process by which new neurons are formed in the brain.

Neurogenesis

The formation of new neurons within the brain.

Plasticity

The brain's ability to change and adapt as a result of experience and new learning.

Frontal Lobes

The frontal lobes are areas of the brain that are involved in voluntary movement, expressive language, and managing higher level executive functions such as problem-solving and planning.