Author Question: Which of the following is an example of a producer taking advantage of economies of scope? a. A ... (Read 115 times)

V@ndy87 · **on:** Jun 30, 2018

Which of the following is an example of a producer taking advantage of economies of scope?
a. A farmer buys more land so he can produce more soybeans.
b. GM closes a Chevy truck plant in response to a decline in the demand for trucks.
c. Disney World stays open later to serve more customers per day.
d. A dairy farmer produces cow's milk and butter.
e. A mouthwash firm expands production by improving management efficiency.

Question 2

In the early 1970s, in an attempt to solve the problem of the overvalued U.S. dollar, world leaders
a. increased the price of gold in terms of other currencies
b. appreciated the dollar, which made foreign exchange cheaper to U.S. residents
c. appreciated the dollar, which made foreign exchange more expensive to U.S. residents
d. devalued the dollar, which made foreign exchange cheaper to U.S. residents
e. devalued the dollar, which made foreign exchange more expensive to U.S. residents