Diseconomies of scale occur when:A) average total cost increases as output increases.B) average total cost declines as output increases.C) average fixed cost declines as output increases.D) average fixed cost increases as output increases.

Q: economies of scale, followed by diseconomies of scale. increasing costs, followed by decreasing…

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Q: Diseconomies of scale exists over the range of output for which the long run average cost curve is?

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A:

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Q: 3. What are the differences between the internal and external economies of scale?

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Q: Refer to the above diagram. Diseconomies of scale?

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Q: Distinguish between/among The short run total fixed cost, total variable cost and total cost.

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Q: The feature that distinguishes short-run from the long-run is the*

A:

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Q: When a firm triples its inputs and finds that its output has less than tripled this is known as:…

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A: ATC = AVC + AFC So, AFC = ATC - AVC (= distance between ATC and AVC curves) Also, AFC = TFC / Q As Q…

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A: The total cost is the sum of fixed cost and variable cost in the production process. When the total…

Q: Marginal variable costs and marginal total costs are the same. True False

A: Total cost (TC): - it is the sum of fixed and variable costs incurred in the production process.…

Q: The output level at which long-run costs are minimised is known as: (a)  Average fixed cost; (b)…

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A: Minimum Efficient scale is a point between economies of scale and diseconomies of scale.

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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.