Marginal costs of a producer may be very small due to its product's ability to satisfy a large number of consumers at the same time. This characteristic of a product is called

Question

Quizplus · Accepted Answer

Simultaneous consumption refers to the ability of a product or service to be consumed by multiple consumers at the same time without diminishing the quality or availability of the product for others. This characteristic can lead to very small marginal costs for a producer, as the cost of serving additional consumers is minimal.

Marginal Costs of a Producer May Be Very Small Due