As a plant output expands,unit costs decrease.

Name: As a plant output expands,unit costs decrease.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

This is a well-known principle in economics called "economies of scale." As the production of a product increases, the cost per unit typically decreases. This is because fixed costs (such as rent and equipment) can be spread out over more units, and the production process can become more efficient.

As a Plant Output Expands,unit Costs Decrease