When a Firm Experiences Economies of Scale, Long-Run Average Total

question 170

True/False

When a firm experiences economies of scale, long-run average total cost falls as the quantity of output increases.

---

Definitions:

Confounding Variables

Confounding Variables are external factors in a study or experiment that could influence or distort the relationship between the variables being examined.

Extraneous Variables

Variables that are not the focus of a study but can affect the outcome of research if not properly controlled.

Participants' Reactivity

The alteration of participants' behavior or responses due to the awareness of being observed or studied.

Operational Definition

A clear, precise description of a variable, term, or object in terms of the operations or processes used to observe and measure it.