Which of the Following Is Not True When There Are

question 385

Multiple Choice

Which of the following is not true when there are large economies of scale such that one firm can produce at a lower average cost than can be achieved by multiple firms?

• A) This situation produces a natural monopoly.
• B) Proportional increases in output yield proportionally small increases in total cost.
• C) The long-run average cost curve of the firm will increase at a low level of output.
• D) There will only be one firm in this industry.

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Definitions:

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Close and personal relationships characterized by deep emotional connections and mutual affection.

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Average Worker

An individual who performs at a level considered typical or standard among their peers or within their profession.

United States

A country in North America consisting of 50 states and a federal district, known for its significant influence on world politics, economy, and culture.