Question

Factors that cause a producer’s average cost per unit to fall while output rises are known as _____.

a. franchise scale
b. price discrimination
c. economics of scale
d. market power scale

Answer 1

a. franchise scale

Step-by-step explanation:

A merger is when two or more businesses join together to form a single company.

Answer 2

Factors that cause a producer’s average cost per unit to fall while output rises are known as "c. economics of scale". This is what happens when the size of a production operation increases which reduces costs of labor, maintenance, etc.