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Economies of Scope in the Production of Goods G and W

Question 74

Multiple Choice

Economies of scope in the production of goods G and W exist if


A) LTC(G,W) >LTC(G,0) LTC(0,W) L T C ( G , W ) > L T C ( G , 0 ) - L T C ( 0 , W )
B) LTC(G,W) <LTC(G,0) +LTC(0,W) L T C ( G , W ) < L T C ( G , 0 ) + L T C ( 0 , W )
C) LTC(G,W) LTC(G,0) <LTC(0,W) \operatorname { LTC } ( G , W ) - \operatorname { LTC } ( G , 0 ) < \operatorname { LTC } ( 0 , W )
D) both a and c
E) both b and c

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