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If the Long-Run Average Cost Curve Is U-Shaped,the Optimal Scale

Question 186

Multiple Choice

If the long-run average cost curve is U-shaped,the optimal scale of production from society's viewpoint is


A) the minimum efficient scale.
B) where maximum economic profit is earned by producers.
C) where firm profit is large enough to finance research and development.
D) one that guarantees economic profit.

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