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All of the following are true regarding the long-run average total cost (ATC) curve EXCEPT

A

The long-run average total cost curve is downward-sloping over the range of outputs in which a firm experiences economies of scale.

B

The long-run average total cost curve is upward-sloping over the range of outputs in which a firm experiences diseconomies of scale.

C

The long-run average total cost curve is downward-sloping over the range of outputs in which a firm experiences decreasing returns to scale.

D

The long-run average total cost curve is horizontal over the range of outputs in which a firm experiences constant returns to scale.

E

The long-run average total cost curve is upward-sloping when per-unit costs are increasing.

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