Adam Smith observed that the division of labour is limited by the size of the market. Which one of the following statements is not consistent with this observation? Multiple Choice A limited-sized market can prevent firms from achieving economic capacity A limited-sized market can prevent firms from achieving their minimum efficient scale A limited-sized market can prevent firms from achieving minimum long-run average cost A limited-sized market can prevent firms from achieving minimum short-run average cost A limited-sized market can prevent firms from achieving excess capacity

Adam Smith observed that the division of labour is limited by the size of the market. Which one of the following statements is not consistent with this observation? Multiple Choice A limited-sized market can prevent firms from achieving economic capacity A limited-sized market can prevent firms from achieving their minimum efficient scale A limited-sized market can prevent firms from achieving minimum long-run average cost A limited-sized market can prevent firms from achieving minimum short-run average cost A limited-sized market can prevent firms from achieving excess capacity

Microeconomics: Principles & Policy

14th Edition

ISBN:9781337794992

Author:William J. Baumol, Alan S. Blinder, John L. Solow

Publisher:William J. Baumol, Alan S. Blinder, John L. Solow

Chapter7: Production, Inputs, And Cost: Building Blocks For Supply Analysis

Section: Chapter Questions

Problem 1DQ

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