Quantity 1 2 4 5 6 7 Firm A 30 60 90 120 150 Firm B 75 85 90 95 100 Firm C 40 65 90 115 140 170 Indicate whether each firm experiences economies of scale or diseconomies of scale. (Note: If a firm experiences economies of scale in one region and diseconomies of scale in another, make sure to select both columns.) Firm Economies of Scale Diseconomies of Scale A B с 75 70 15 25 70 3 Hand written asap 40 80 55

Principles of Microeconomics
7th Edition
ISBN:9781305156050
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter13: The Cost Of Production
Section: Chapter Questions
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Question
Consider the following table of long-run total costs for three different firms:
Quantity
1
2
3 4
6
7
Firm A
25
30 40 60 90 120
150
70 75
80
85
90 95 100
Firm B
Firm C
15 40 65
90
115 140 170
Indicate whether each firm experiences economies of scale or diseconomies of scale. (Note: If a firm experiences economies of scale in one region
and diseconomies of scale in another, make sure to select both columns.)
Firm Economies of Scale Diseconomies of Scale
A
B
(
с
U
U
U
Hand written asap
Transcribed Image Text:Consider the following table of long-run total costs for three different firms: Quantity 1 2 3 4 6 7 Firm A 25 30 40 60 90 120 150 70 75 80 85 90 95 100 Firm B Firm C 15 40 65 90 115 140 170 Indicate whether each firm experiences economies of scale or diseconomies of scale. (Note: If a firm experiences economies of scale in one region and diseconomies of scale in another, make sure to select both columns.) Firm Economies of Scale Diseconomies of Scale A B ( с U U U Hand written asap
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