When the cost of producing a unit of a good falls because the ...

[penza]

When the cost of producing a unit of a good falls because the firm uses specialized resources to produce a range of goods and services is the definition of
 
  A) economies of scope.
  B) economies of scale.
  C) economic efficiency.
  D) technological efficiency.

Question 2

The quantity of money is 1 billion, the price level is 1.10, and real GDP is 10 billion. What is the velocity of circulation?
 
  What will be an ideal response?

[kishoreddi]

Answer to Question 1

A

Answer to Question 2

The velocity of circulation equals 11.