-The above figure shows the long-run expansion path.The long-run average cost curve will be
A) horizontal.
B) downward sloping.
C) upward sloping.
D) vertical.

Name: -The above figure shows the long-run expansion path.The long-run average cost curve will be A) horizontal. B) downward sloping. C) upward sloping. D) vertical.
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Question

-The above figure shows the long-run expansion path.The long-run average cost curve will be
A) horizontal. 
B) downward sloping. 
C) upward sloping. 
D) vertical.

Quizplus · Accepted Answer

In the long-run expansion path, as output increases, firms can adjust all inputs to achieve economies of scale, leading to a downward-sloping long-run average cost curve.

-The Above Figure Shows the Long-Run Expansion Path