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Which of the Following Is FALSE

Question 94

Multiple Choice

Which of the following is FALSE?


A) Long-run average variable costs equal long-run average total costs.
B) Fixed costs increase in the long run.
C) As a firm produces more output, eventually it experiences diseconomies of scale.
D) In the long run, both the amount of capital and labor used by the firm can be changed.
E) In the long run, the firm has no fixed inputs.

Correct Answer:

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