Economies of Scale Refer to the

question 40

Multiple Choice

Economies of scale refer to the

• A)Reduction in minimum average costs due to an increase in the number of workers hired.
• B)Reduction in minimum average costs due to an increase in plant size.
• C)Downward-sloping portion of the marginal cost curve.
• D)Downward-sloping portion of the average total cost curve.

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Definitions:

Transitional Matrices

Mathematical matrices that represent the probabilities of moving from one state to another in a dynamic system, often used in decision making and forecasting.

Downsizing

The process by which a company reduces its workforce to cut costs or improve efficiency, often leading to layoffs or termination of employees.

Downsized Company

Refers to an organization that has undergone reduction in size, often through layoffs or selling off divisions, to improve efficiency or reduce costs.