If a higher level of production allows workers to specialize in particular tasks, a firm will likely exhibit _______of scale and ______ average total cost.a. economies, fallingb. economies, risingc. diseconomies, fallingd. diseconomies, rising

Q: Suppose you are a producer of motor vehicles, explain with the use of examples the difference…

A: Economies of scale exist when since a long time ago run normal total expense diminishes as yield…

Q: A firm's short-run average cost curve is U-shaped. Which of these conclusions can be reached…

A: Total cost is defined as the total expenses that a company or firm has to incur in order to produce…

Q: If a higher level of production allows workers to specialize in particular tasks, a firm will likely…

A: Economies of scale refers to the cost advantage of the producers that they earn on the output due to…

Q: B. Refer to the figure below. LRAC a. In the short run, capital is a fixed cost. Draw for a few…

A: Short Run Average Cost (SRAC) is equal to average fixed cost and average variable cost. It is…

Q: In a short-run production process, a diminishing marginal product of labor explains why marginal…

A: Marginal Product of Labor:  The term marginal product of labor shows that how much additonal or…

Q: In a short-run production process, a diminishing marginal product of labor explains why marginal…

A: Diminishing Marginal product means that the increase in the output from the additional labor…

Q: A firm called Anonymous of Toronto makes corrugated cardboard boxes. It decides to increases all of…

A: The firms, and businesses in an economy tend to operate with the motive of earning maximum amount of…

Q: Abdullah has his own Auto Shop and produces one type of service. He spends 250 KD a month to rent a…

A:

Q: Why does the difference between AVC and ATC get smaller as Q increases? b)  Why does MC intersect…

A: Since you have asked multiple questions we will answer the first three for you. The average cost…

Q: Say that neither labor nor machines are fixed but there is a 50 percent quick-order premium paid for…

A: Explicit costs and revenues are those financial transactions that are directly related to a decision…

Q: If Boeing produces 9 jets per month, its long-runtotal cost is $9 million per month. If it…

A: Costs are the expenses that firms incur during the production processes. The firm’s costs depend…

Q: Which of the following statements is entirely correct? OBoth economies of scale and diminishing…

A: Economics of scale refers to impact on the total output if all the input factors are changed. While…

Q: If a firm quadruples (4x) in size and output increases sixfold (6x), what is the returns to scale?

A: Here input increase 4× and output increase 6×

Q: 3. What causes the long run costs to be U shaped a. Economies and Diseconomies of Scope b.…

A: In a market, when a firm faces U-shaped average cost curve in the long-run, it implies that the…

Q: In the short run marginal cost crosses average total cost at the minimum of average total cost True…

A: According to the given question Simply a Short run period is that period in which the other factors…

Q: Productivity decreases when O a. Output and hours worked decrease at the same rate Ob. Hours worked…

A: Productivity refers to the ability of the business to produce more output. Productivity determines…

Q: Rather than have all the tasks in a production setting being done by the same person, but by…

A: In economics, the problem of scarcity which is universal in nature is studied and addressed. Because…

Q: 2. Match the descriptions below to the appropriate concept: A. Economies of Scale B. Efficient Scale…

A:

Q: In long run production, which of the following does NOT fluctuate? OA All costs can fluctuate in…

A: Money has been evolved since the ages and everyone uses money for number of purposes. There are…

Q: If the per unit price of labor, a variable resource, increases, it causes which of the following? a)…

A: If the per unit price of labor of a variable resources increase, then it will change the ATC and MC…

Q: Chapter 11 Production and Costs – Units of Total Marginal Product Total Variable ATC AVC MC Labor…

A: The law of diminishing marginal return that when more and more variables factors are added with…

Q: In the long run, the long-run average cost curve whereas in the very long run, the long-run average…

A: There are four production time periods in microeconomics, they are very short run, short run, long…

Q: A firm has economies of scale, it must have increasing returns to scale. Explain?

A: Economies of scale are cost advantages experienced by firms when production becomes efficient.…

Q: ben diseconomies of scale occur: A the long-run average total cost curve B. marginal cost intersects…

A: Firm produces final goods and services using the factors of production which are broadly divided…

Q: In a short-run production process, a diminishing marginal product of labor explains why marginal…

A: Diminishing Marginal product means that the increase in the output from the additional labor…

Q: il to his long run average cost of production ter than his long run average cost of production than…

A: Economies of scaleLong-run ATC falls as yield increments. Diseconomies of scale Long-run ATC ascends…

Q: The figure below shows a firm's long-run average cost curve (LAC) in light 2. blue. Three of the…

A: A long run average cost curve is known as an arranging bend. This is on the grounds that a firm…

Q: Microeconomics divides costs in to “short-run costs” and “long-run costs”. Can “long-run” differ…

A: The short run is defined as the time frame during which wages and prices of other production inputs…

Q: Q1. If fixed cost (FC) is $50, variable cost (VC) is $100, and output (quantity) is 3, what is…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: For an increase in output, average costs change by more in the short-run than in the long-run, but…

A: Average cost: The average cost for a firm can be defined as the cost incurred per unit of output for…

Q: The long run average total cost curve is tangent to an infinite number of short run _______ cost…

A: The long-run average total cost (LATC) curve of a firm demonstrates the minimum or the least average…

Q: or a decrease in output, average costs change by more in the long run than in the short run - True…

A: If there is a decrease in the production, short-run average total cost and long-run average total…

Q: These occur when doubling all of the inputs to a production process doubles the output. The shape of…

A: Returns to scale denote the relationship between inputs and outputs.

Q: Expalin the law of diminishing returns or diseconomies of scales ?

A: In an economy, the law of diminishing returns and diseconomies of scale are two different concepts,…

Q: Which statement is nottrue regarding the total variable cost curve? Select one O A It shows the…

A: The total variable cost is the cost incurred on the variable factors of production.

Q: Suppose a hotel exhibits constant returns to scale as it increases its output. If it increases  all…

A: Returns to scale is about the relationship between input and output. It refers to the amount of…

Q: Please give 2 examples of economies of scale, diseconomies of scale, and constant returns of scale.…

A: Return to scale is a long run concept, which measures the change in total output due to the change…

Q: Average fixed cost, average total cost a -Why does average fixed cost continuously fall as output…

A: Average fixed cost- It is the cost that is per unit of Total fixed cost. AFC=TFCQ Average total…

Q: Suppose a firm is using two inputs, labor and capital. What will happen if the price of labor falls?…

A: If there are two inputs, then if price of one input falls, then it would afford to use more of that…

Q: th for vario

A: Average total cost is being referred to as the sum total of all of the production costs being…

Q: rue or false 1-The marginal cost curve intersects the minimum point of both the average total cost…

A: Marginal cost refers to the additional cost that incurred due to increasing one more unit of output.

Q: Explain the three categories of rreturns to scale relating to the long-run average cost curve

A: Returns to scale shows how the proportion by which output change in response to the change in all…

Q: (c) Long-run average total cost curve is a curve that shows the lowest (Unit) cost at which the firm…

A: When a fixed cost is set to minimize average total cost for each level of production, the long-run…