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  2. Business
  3. Microeconomics Study Set 26
  4. Quiz 10: Organizing Production

One of the Reasons That a Firm Can Be ________

Question 293
Multiple Choice

One of the reasons that a firm can be ________ efficient than a market is that the firm ________. A) more; does not have any economies of scale B) more; lowers transactions costs C) less; has economies of scope D) less; produces lower profits

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Kris wants to purchase a house. She buys newspapers to read the classified advertisements and spends her evenings with realtors looking at houses. Kris has incurred the ________ costs of making a purchase. A) transactions B) market C) buying D) scale
Q 295
When the cost of producing a unit of a good decreases as its output rate increases, there are economies of A) scale. B) scope. C) production. D) size.
Q 296
"When the cost of producing a unit of a good falls as its output rate increases" is the definition of A) economies of scope. B) economies of scale. C) economic efficiency. D) technological efficiency.
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