SU Consider the following two statements: 1. A technology with increasing returns to scale will generate a long run average cost curve that has economies of scale II. Diminishing returns determines the slope of the short-run marginal cost curve. O Both I and II. are true O I. is true, II is false Olis false, II. is true. O Both I and II are false QUESTION 23 Technology improved in the natural gas market, as shown below by the shift from Sy to S2 $/Q+ P D 0:03 The welfare gain to society resulting from the innovation is shown by what area(s)? O A+B+C OBEC OD 0 A+B+C+D