Author Question: In an industry where firms experience internal scale economies, the long-run cost of production will ... (Read 108 times)

leo leo

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In an industry where firms experience internal scale economies, the long-run cost of production will depend on
 
  A) the size of the market.
  B) the size of the labor force.
  C) whether the country engages in intra-industry trade.
  D) individual firms' fixed costs.
  E) whether the country engages in inter-industry trade.

Question 2

Which of the following has not been suggested as a reconciliation of Leontief's findings?
 
  A) international differences in tastes
  B) U.S. tariff structure
  C) failure to take into account natural resources
  D) temporary data problems immediately after World War II



bhavsar

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Answer to Question 1

A

Answer to Question 2

D



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