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    International Economics Study Set 10
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    Exam 6: Increasing Returns to Scale and Monopolistic Competition
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    A Firm's Average Costs Will Be Falling Whenever Its
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A Firm's Average Costs Will Be Falling Whenever Its

Question 20

Question 20

Multiple Choice

A firm's average costs will be falling whenever its:


A) marginal costs are positive.
B) marginal costs are negative.
C) marginal costs are less than average costs.
D) marginal costs are less than fixed costs.

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