WAEC Economics 2024 Objective — Question 18
Question 18 of 50 from the West African Examinations Council (WAEC) Economics 2024 Objective paper, with the correct answer and a full explanation.
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18. Which of the following best explains diseconomies of scale? Increase in output causes
- A. the average cost to rise.Correct
- B. marginal revenue to fall.
- C. marginal cost to fall.
- D. the firm to be destabilized.
Explanation
When average cost rises as output is increased, diseconomies of scale have set in.
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