The larger the diameter of a natural gas pipeline, the lower is the average total cost of transmitting 1,000 cubic feet of gas 1,000 miles. This is an example of:

Related MCQs

• If you know that with 8 units of output, average fixed cost is Rs. 12.50 and average variable cost is Rs. 81.25, then total cost at this output level is:
• When both average and total product are greater than zero, and marginal product equals average product, then total product:
• With fixed costs of Rs. 400, a firm has average total costs of Rs. 3 and average variable costs of Rs. 2.50. Its output is:
• The U shape of the average total cost curve reflects
• If a firm’s average cost is Rs.32 at 6 units of output and Rs.34 at 7 unit, which one among the following is the marginal cost of producing the 7th unit
• The Long run Average Cost curve (LAC) in modern cost theory is roughly
• Suppose a firm sells its product at a price lower than the opportunity cost of the inputs used to produce it. Which is true?
• The saucer-type of modern Short run Average Variable Cost (SAVC) represents
• Under increasing returns to scale, which of the following is the nature of the long run average cost curve?
• The average fixed cost is obtained by :