Question

Identify the correct statement :
(a) The average product is at its maximum when marginal product is equal to average product.
(b) The law of increasing returns to scale relates to the effect of changes in factor proportions.
(c) Economies of scale arise only because of invisibilities of factor proportions.
(d) Internal economies of scale can accrue only to the exporting sector.

Answer 1

Identify the correct statement :

(a) The average product is at its maximum when marginal product is equal to average product.

(b) The law of increasing returns to scale relates to the effect of changes in factor proportions.

(c) Economies of scale arise only because of invisibilities of factor proportions.

(d) Internal economies of scale can accrue only to the exporting sector.

Answer 2

Answer:c

Explanation: