Which of the following statements with respect to the figure below is INCORRECT? 
A) All the possible short-run average cost curves that correspond to the different plant sizes are shown as
-
.
B) If the anticipated permanent rate of output per unit time period is
in panel (a) , the optimal plant would correspond to
.
C) If the permanent rate of output increases to
in panel (a) , it will be more profitable to have a plant size corresponding to
.
D) The long-run average cost curve LAC in panel (b) is sometimes called the planning curve representing the locus (path) of points.
Correct Answer:
Verified
Q326: The long run for a business is
Q327: Q332: The locus of points representing the minimum Q333: Economies of scale exist where the long-run![]()
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