Which of the following is true? When the marginal cost is greater than the average cost, there are economies of scale. The average expenditure of a monopsonist is decreasing in the quantity purchased. None of the other statements if true. Positive accounting profits in a long-run competitive equilibrium reflect economic rents from scarce factors of production.

Which of the following is true? When the marginal cost is greater than the average cost, there are economies of scale. The average expenditure of a monopsonist is decreasing in the quantity purchased. None of the other statements if true. Positive accounting profits in a long-run competitive equilibrium reflect economic rents from scarce factors of production.

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter12: Price And Output Determination: Oligopoly

Section: Chapter Questions

Problem 5E

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