Which statement describes step-cost behaviour?
A)discontinuous
B)displays a constant level of cost for a range of output and then jumps to a higher level at some point
C)must be purchased in chunks
D)All of the above describe step-cost behaviour.

Question

Quizplus · Accepted Answer

Step-cost behavior is characterized by all the mentioned features: it is discontinuous, displays a constant level of cost for a range of output before jumping to a higher level, and must be purchased in chunks.

Which Statement Describes Step-Cost Behaviour