Which of these statements are FALSE
a. If production exhibits diseconomies of scope, firm should reduce the number of products to reduce costs.
b. If production exhibits diseconomies of scope, firm should increase the number of products to reduce costs.
c. If production exhibits economies of scope, firm should increase the number of products to reduce costs.
d. If production exhibits economies of scope, firm should increase the number of products to reduce costs.
Question 2
In a coin toss bet, where both heads and tails are equally likely, you win a 2 on heads but lose 1 on tails. The expected value of the bet is
a. 0.50
b. -0.50
c. 1.00
d. 0.00
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