Answered: 35) Long-run cost curves are U-shaped…

35) Long-run cost curves are U-shaped because A) of the law of demand. C) of economies and diseconomies of scale. B) of the law of diminishing returns. D) of the law of supply.

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter7: Proudction Costs

Section: Chapter Questions

Problem 23SQ

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Concept explainers

Short-Run Costs and Long-Run Costs

Cost of short-run and the long-run is an economic term that describes the cost involved in the production of goods in a firm in the short as well as long period.

Question

35) Long-run cost curves are U-shaped because
A) of the law of demand. C) of economies and diseconomies of scale.
B) of the law of diminishing returns. D) of the law of supply.

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