QUESTION 7 An industry is likely to be an increasing-cost industry when all firms are identical...

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QUESTION 7 An industry is likely to be an increasing-cost industry when all firms are identical...

QUESTION 7

An industry is likely to be an increasing-cost industry when

		all firms are identical
		if it is only a small fraction of the total demand for inputs
		industry expansion permits the development of other industries
		some firms are more efficient than others

business economics

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Option 4

some firms are more efficient than other

the increasing cost industry means as the new firms enter the market the industry costs increase because some firms are more efficient than the others.

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QUESTION 7 An industry is likely to be an increasing-cost industry when all firms are identical...

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