If an airport decides to expand by building an additional ...

[Yi-Chen]

If an airport decides to expand by building an additional passenger terminal, and in doing so it lowers its average cost per airplane landing, then the expansion would provide ________ to the airlines.
 
  A) higher marginal costs but lower total costs B) higher average costs but lower total costs
  C) economies of scale D) diseconomies of scale

Question 2

An example of an intermediate good would be
 
  A) the soda pop sold by Quiznos.
  B) the bread that goes into a sub sandwich that is sold by Quiznos.
  C) the potato chips sold by Quiznos.
  D) a sub sandwich sold by Quiznos.

[kjohnson]

Answer to Question 1

C

Answer to Question 2

B