9. In the short run, a firm is limited by a fixed factor of production or a

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9. In the short run, a firm is limited by a fixed factor of production or a fixed scale of a plant. As a firm increases output, it will eventually find itself trapped by that scale. Because of the fixed scale, marginal cost eventually rises with output.

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Principles Of Microeconomics

ISBN: 9780691150093

13th Global Edition

Authors: Karl E. Case, Ray C. Fair, Sharon E. Oster

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