Suppose a factory that produces toasters experiences a decline in its average total cost with no change in its output level. This decline might be explained by:
A) economies of scale.
B) decreasing marginal utility.
C) increasing marginal productivity.
D) technological change.

Question

Quizplus · Accepted Answer

Technological change can lead to a decline in average total cost by improving production processes or introducing more efficient technology, without changing the output level.

Suppose a Factory That Produces Toasters Experiences a Decline in Its