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Using 100 Workers and 10 Machines, a Firm Can Produce

Question 20

Multiple Choice

Using 100 workers and 10 machines, a firm can produce 10,000 units of output; using 250 workers and 25 machines, the firm produces 21,000 units of output. These facts are best explained by:


A) economies of scope.
B) diseconomies of scale.
C) economies of scale.
D) diminishing marginal productivity.

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