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What is the correct answer and why are the other ones wrong? 7. If a firm's production process exhibits economies of scale, which of the

What is the correct answer and why are the other ones wrong?

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7. If a firm's production process exhibits economies of scale, which of the following will occur when the firm's output increases? A. Its short run average total costs will rise. B. Its long-run average total costs will rise. C. Its short-run average total costs will fall. D. Its long-run total costs will fall. E. Its long-run average total costs will fall

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