Exhibit 12-8 The long-run total cost schedule of a perfectly competitive firm that produces walnuts is as follows:
Refer to Exhibit 12-8.A firm expanding from producing 1,000 to 2,000 pounds of walnuts in the long run is experiencing:

Question

Exhibit 12-8 The long-run total cost schedule of a perfectly competitive firm that produces walnuts is as follows:
 Refer to Exhibit 12-8.A firm expanding from producing 1,000 to 2,000 pounds of walnuts in the long run is experiencing:

Quizplus · Accepted Answer

Since the long-run total cost decreases from $6,000 to $10,000 as production increases from 1,000 to 2,000 pounds, the firm is experiencing economies of scale.

Exhibit 12-8 the Long-Run Total Cost Schedule of a Perfectly