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Livi owns and operates Livi's Love From Scratch cupcake bakery. Livi has 10 locations throughout her state. When Livi is producing a high level of output, her production area becomes quite crowded with workers. Sometimes the workers have to wait to use a mixer or oven. Further, Livi sometimes cannot keep track of which locations are serving which cupcake flavors on specific days. Livi's production process is most likely experiencing

A constant returns to scale.
B declining total output.
C economies of scale.
D Diseconomies of scale.

User Rendy
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1 Answer

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c) declining total output.
User Dezhi
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