If There Are Large Fixed or Research and Development Costs,such

question 25

Multiple Choice

If there are large fixed or research and development costs,such as in the pharmaceutical industry,production can characterized by:

• A)negative costs.
• B)constant returns to scale.
• C)decreasing returns to scale.
• D)large variable costs.
• E)increasing returns to scale.

---

Definitions:

Income

The money received by an individual or entity, typically on a regular basis, for work or through investments.

Consumption

The use of goods and services by households or individuals, leading to the reduction of their life span or value.

Income

The monetary payment received for goods or services, or the profit earned from an investment, important for analyzing economic welfare and distribution.

Nuts

Nuts are edible seeds typically encased in a hard shell, often consumed for their nutritional content, including proteins, fats, and various minerals.