Suppose that a firmrsquos long-run average total costs of

Question

Suppose that a firm’s long-run average total costs of producing an individual income tax return is $75 when it produces 1,000 returns and $75 when it produces 1,200 returns. For this range of output, the firm is experiencing

a. diseconomies of scale.

b. economies of scale.

c. specialization.

d. constant returns to scale.