Author Question: If Dell Computer Company could produce more computers at lower long-run average cost by increasing ... (Read 74 times)

Yolanda · **on:** Jun 29, 2018

If Dell Computer Company could produce more computers at lower long-run average cost by increasing the quantity of all the inputs it uses, Dell definitely would experience

A) decreasing marginal returns.
B) diseconomies of scale.
C) increasing marginal returns.
D) economies of scale.

Question 2

What does it mean to be risk averse?

What will be an ideal response?

nikmaaacs · **Reply #1 on:** Jun 29, 2018

Answer to Question 1

D

Answer to Question 2

A person is risk averse if his or her expected utility from a risky situation is less than the utility he or she would receive from having, with certainty, the expected wealth from the risky situation.