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Proponents of Advertising Maintain That Advertising Can Eventually Result in Decreased

Question 55

Multiple Choice

Proponents of advertising maintain that advertising can eventually result in decreased unit costs of production by


A) increasing the level of output, thus enabling firms to take advantage of economies of scale
B) increasing the level of output, which results in a downward shift in a firm's long-run average total cost curve
C) reducing sales, thus enabling firms to avoid diseconomies of scale
D) reducing sales, thus allowing firms to downsize their production operations

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