Figure 7.2
-Refer to Figure 7.2. A movement from A to B in the figure represents
A) economies of scale.
B) diseconomies of scale.
C) learning.
D) economies of scope.
E) diseconomies of scope.

Question

Figure 7.2
-Refer to Figure 7.2. A movement from A to B in the figure represents
A) economies of scale. 
B) diseconomies of scale. 
C) learning. 
D) economies of scope. 
E) diseconomies of scope.

Quizplus · Accepted Answer

A movement from A to B in the figure represents economies of scale, which occur when increasing production leads to lower average costs.

Figure 7.2 -Refer to Figure 7.2. a Movement from a to B