Which of the following statements is entirely correct? OBoth economies of scale and diminishing returns are long run concepts O Economies of scale is a short run cconcept, while diminishing returns is a long run concept O Both economies of scale and diminishing returns are short run concepts O Economies of scale is a long run concept, while diminishing returns is a short run concept

Q: Which of the following is true at the output level where average total cost is at its minimum? OA…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: What is the meaning of minimum efficient scale? a. The minimum plant size where constant returns to…

A: Minimum efficient scale refers to the smallest output that a firm is able to produce when long run…

Q: Which of the following statements is false? O The total fixed cost curve has the same slope as the…

A: When a firm makes production activities in the market, it faces two types of costs that are fixed…

Q: A 15 per cent increase in all inputs leads to only a 5 per cent increase in the output. Are the…

A: Percentage increase in input results to a less than proportionate increase in output is the known as…

Q: Which of the following statements is true? a. If the marginal cost curve is above the AFC curve, the…

A: The AFC curve continues to fall with rise in output. The AFC curve is in decreasing shape. Average…

Q: Which of the following can wę conclude when production has diseconomies of scale? Average fixed cost…

A: please find the answer below.

Q: The long run is best defined as a time period O during which at least one input cannot be changed. O…

A: Some factors of production vary with the output produced in the short run, while some remains…

Q: cermine whether the production technology in each situation exhibits constant returns to scale, in…

A: Increasing returns to scale: The proportionate rise in output is larger than proportionate rise in…

Q: The best explanation for the shape of a short run marginal cost schedule is O a. increasing returns…

A: The answer is - c. A fixed factor causes diminishing returns to other factors

Q: When a firm experiences declining long-run average total costs as it produces more output, there are…

A: In the LR, the costs depend on the output level, the factor cost, and the factor's quantity which is…

Q: If all resources used in the production of a product are increased by 20 percent and output…

A: In economics, the cost of production is outlined because the expenditures incurred to get the…

Q: 6. Which of the following are true (check all that apply) Note: IRTS=increasing returns to scale,…

A: ‘Return to scale’ means refers to the change in productivity i.e. proportion change in output(Y) due…

Q: 1 2. Short-run versus long-run costs and expenditur Aa Aa The following isoquants depict the…

A: In the long run, all the factors of production are variable whereas, in the short run, at least one…

Q: 800 Is 720 640 SRATC, 560 480 SRATC, 400 320 SRATC, 240 160 LRATC 80 100 200 300 400 500 600 700…

A:

Q: For producing 200 chairs, the total fixed cost is R.O 2,000 and total variable cost is R.O 1,500.…

A: Firms incur various types of costs while conducting business operations or undertaking any…

Q: Which of the following is true at the output level where average total cost is at its minimum? OA.…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: Which of the following relationship is correct? O When marginal product (MP)starts to decrease,…

A: MP is the additional change in total output due to produce of one additional unit of output  MC is…

Q: a. Is it possible to have diminishing returns to a single factor of production and constant returns…

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

Q: Suppose, inputs input prices do not change. If a given firm decides to double all its inputs, as a…

A: In a market, a firm uses input resources to generate output and the returns from input changes with…

Q: Which of the following is correct with respect to economic profit? PLEASE EXPLAIN THANKS!   A.…

A: The main objective of any firm is profit maximization and a firm maximizes its profit by producing…

Q: Which of the following statements is NOT correct? O The long-run total cost curve is the lower…

A: Marginal rate of technical substitution is the rate at which input factor labour and capital is…

Q: (Long-run costs,) Carmela's pasta factory employs workers and pasta machines according to the lowing…

A:

Q: which of the following statements is true? O since fixed costs are constant as output changes in the…

A: The statement that since total fixed costs are constant as output changes in the short run, it…

Q: Which of the following best describes economies of scale? O They refer to the increase in output…

A: In the short run atleast one input is fixed and in the long run all inputs are variable.

Q: Consider a firm with fixed costs of production (F). Which FOUR of the following statements are…

A: To select the correct options, let's try to understand the relationship between the two curves with…

Q: In the short run, if average variable costs equal $60, average total costs equal $70, and output…

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

Q: Cost LRAC B A Quantity Figure 1 Long run average cost curve for a firm Figure 1 shows a long run…

A: In economics, when the firm expands or grows then there exists a change in its cost too. When the…

Q: 2.1 For each of the following, decide whether you agree or dis- agree and explain your answer: a.…

A: There are decreasing, increasing and constant returns to scale.

Q: which of the following reflects the correct rleationship between average total cost(ATC) and…

A: Average Total Cost The average total cost or average cost is the cost per unit of both fixed and…

Q: Solve for and graph this firm’s isoquant at q = 10. Please label three points along this isoquant…

A: Given q=x113x223            ...........  (1)

Q: 1. For each of the following production functions, determine whether there are increasing, constant…

A: Returns to scale shows the proportional change in the output when the inputs are changed by a…

Q: In the figure, the intersection of curves A and B is the point at which 20 16 20 40 60 80 Quantily…

A:

Q: Which of the following events would contribute to economies of scale? O Large supermarkets being…

A: Economies of scale refers to decrease in average cost as production increases.

Q: Concentrate on the following production function: 10KL Q K+L Suppose w = Php 1, r = Php 4, and K = 4…

A: "A production function depicts a relation between inputs involved in the production process and…

Q: Which of the following statements are true regarding the concept of returns to scale? [Check all…

A: Let production function  Q = F(L, K) Double the inputs by a scalar z > 0. Q = F(zL, zK) If F(zl,…

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: In a short-run production process for computer software, the average total cost (ATC) is increasing…

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

Q: The ff are true about economies of scale except one a. It is concept in cost function b. Costs…

A: Economies of scale arises from efficiency in labor productivity which causes long run average cost…

Q: What are diseconomies of​ scale? Diseconomies of scale is   A. when the marginal product of labor is…

A: Answer: Correct option: option D Explanation: Diseconomies of scale: when an increase in a firm’s…

Q: AVERAGE TOTAL COST (Dollars per bike) 640 560 480 400 320 240 160 80 0 0 100 200 300 400 QUANTITY…

A: Short-run is such a period in which at least one of the factors of production is fixed whereas the…

Q: ased on your own personal observations of the college, do you think the low-income Community College…

A: Economies of scale refer to a situation where the already existing firm/ organization/ institution…

Q: The term "constant returns to scale" describes a situation where expanding all inputs dramatically…

A: Returns to scale(RTS) is a concept that tells how the total output(Y) changes when all the factors…

Q: Which statement must be false? a)  When a firm has increasing returns to scale in production, its…

A: Increase return to scale : where production  increase proportionally same as input increased. .…

Q: Let's assume that in Ventura, a toaster company was manufacturing 3,000 units of toasters at the…

A: Introduction Economies of scale means that as a producer increases the quantity produced/output, the…

Q: The shape of the long-run average cost curve is primarily due to: O economies and diseconomies of…

A: Long run average total cost is the per unit cost of production in the long run. It is the ratio of…

Q: Consider the following statements when answering this question: If a technology exhibits diminishing…

A: If a technology exhibits diminishing returns then it also exhibits decreasing returns to  scale.

Q: Which of the following is true at the output level where average total cost is at its minimum? OA…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…