Economies of scale exist when a firm's _ average costs fall as it output

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03-08-2022
Business

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Economies of scale exist when a firm's _ average costs fall as it output

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mahak08 mahak08 · Answer 1 · 2022-08-06T11:01:19+02:00

Long-run and increase are correct phrases as the short-run average cost (SRAC) curves, each of which represents a distinct level of fixed costs, form the foundation of the long-run average cost (LRAC) curve.

The least expensive average cost curve for any level of output will be the long-run average cost curve.

How can scale economies work?

Benefits from economies of scale might result from a business's size being expanded. For instance, while making significant purchases, a business could profit from economies of scale.

Through the negotiation of a lower price per unit and the simultaneous purchase of a large number of items, it was able to outbid competitors.

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Economies of scale exist when a firm's ___________ average costs fall as it __________ output

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How can scale economies work?

Otras preguntas

Economies of scale exist when a firm's _ average costs fall as it output