The Following Questions Refer to the graph below.
-At what level(s)of output do reductions in the average costs of production cease?

Question

The Following Questions Refer to the graph below. 
-At what level(s)of output do reductions in the average costs of production cease?

Quizplus · Accepted Answer

Reductions in the average costs of production cease above the level of output where economies of scale are fully realized, which is indicated by the point Q₀. Beyond this point, diseconomies of scale may begin, causing average costs to increase.

The Following Questions Refer to the Graph Below