When Sunoco realizes economies of scale, its long-run average total cost curve
A) turns upward
B) turns downward
C) shifts upward
D) shifts downward

Name: When Sunoco realizes economies of scale, its long-run average total cost curve A) turns upward B) turns downward C) shifts upward D) shifts downward
Brand: Quizplus
Rating: 4.7 (35 reviews)

Question

Quizplus · Accepted Answer

When a firm realizes economies of scale, its long-run average total cost curve shifts downward. This is because the firm is able to produce more output at a lower cost per unit.

When Sunoco Realizes Economies of Scale, Its Long-Run Average Total