IMG9599

g5 = O Contact Revise: Economies and Diseconomies of Scale Extras Question 3 Which of the following is a correct statement concerning economies of scale? KA 'S | + ° Q Economies of scale are a short-run phenomenon. S Economies of scale are what cause the short run average total cost curve to be shaped like a U. ® O O One explanation of how a firm can achieve economies of scale is that large firms are better able to utilize specialization of workers than small firms are. When a firm is experiencing economies of scale, profit will decrease if the firm becomes larger. T Solution The correct answer is One explanation of how a firm can achieve economies of scale is that large firms are better able to utilize specialization of workers than small firms are. i Q Wrong @ Cfi Hide solution ) LR Wx.flwnflfidfimflflfllumuudAudlfl.im.ihiummflfi;flmmu%:mmdm&wflumflj