Internal economies of scale will average cost when output is by .
A)reduce; increased; the industry
B)reduce; increased; a firm
C)reduce; reduce; the industry
D)increase; increased; the industry
E)increase; increased; a firm

Question

Quizplus · Accepted Answer

Internal economies of scale occur when a firm's average costs decrease as its output increases, due to factors like improved efficiency or bulk purchasing.

Internal Economies of Scale Will Average Cost When Output Is