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Question
A firm encountering economies of scale over some range of output will have a 
Options:
A .  rising long-run average cost curve 
B .  falling long-run average cost curve 
C .  constant long-run average cost curve 
D .  rising, then falling, then rising long-run average cost curve 
Answer: Option B
:
B
A firm encountering economies of scale over some range of output will have a falling long-run average cost curve.

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