MCQOPTIONS
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| 1. |
The larger the diameter of a natural gas pipeline, the lower is the average total cost oftransmitting 1,000 cubic feet of gas 1,000 miles. This is an example of: |
| A. | economies of scale. |
| B. | normative economies. |
| C. | diminishing marginal returns. |
| D. | an increasing marginal product of labour. |
| Answer» B. normative economies. | |