The Primary Reason for Why Social Loafing Occurs Is That

question 28

Multiple Choice

The primary reason for why social loafing occurs is that output contributions from ________ easily be measured.

• A)the entire group cannot
• B)individuals can
• C)the entire group can
• D)individuals cannot

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Definitions:

Decreasing Returns to Scale

Decreasing Returns to Scale occurs when a firm increases all inputs by a certain proportion, but the output increases by a smaller proportion, indicating reduced efficiency.

Average Costs

The total cost of production divided by the number of units produced, often used to assess efficiency and profitability.

Decreasing Returns to Scale

A situation in which increasing the scale of production leads to a proportionally smaller increase in output, often due to inefficiencies.

Long Run Average Cost Curve

A graphical representation showing the lowest cost at which a firm can produce any given level of output in the long run, where all inputs are variable.