I 46) Graphically, what is the effect of technological change? A) The long-run average cost curve will shift down, but the short-run curves will not change. B) Both the long-run and short-run average cost curves will shift down. C) The long-run average cost curve will shift up, but the short-run curves will not change. D) Both the long-run and short-run average cost curves will shift up. E) It will reduce the size of the average firm.43) Which of the following statements is correct if the appropriately sized firm is one with a large output? A) Constant returns to scale must begin at low levels of output. B) Economies of scale must prevail until high levels of output are reached. C) Diseconomies of scale must begin at low levels of output. D) Constant returns to scale must be absent. I 44) What does MES refer to? A) The marginal efficient size of a firm B) The biggest-size plant that is capable of achieving economies of scale. C) The biggest-size plant that is capable of achieving diseconomies of scale D) The smallest-size plant that is capable of achieving diseconomies of scale E) The smallest-size plant capable of achieving the lowest long-run average cost of production. 45) All of the following, except one, are possible explanations for why large-scale operations may not be as important for firms in many industries in the future. A) Economies of scale are becoming less important in some industries because of new technology. B) Financial capital is now more readily available to small firms than it used to be. C) Consumer demand is shifting towards more customized products. D) Very large, established firms are often less flexible. E) Small firms can advertise their products on TV for a per unit cost that is just as inexpensive as large firms