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Business, 18.10.2019 00:00 antcobra

Margaret owns a stuffed animal shop. at first, it is just her daughter allison and her hand‑sewing stuffed bears, stuffed sharks, and stuffed giraffes in the spare bedroom. over time, margaret decides to rent a larger shop and hire more workers to out, increasing to a staff of 20 people. everything is still hand sewn. she notices, however, that her stuffed animal output increased much more than tenfold despite her work force increasing by that amount. however, any more than 20 workers slows down production.

a. increased average cost.
b. alternative production technologies
c. economies of scale
d. increasing marginal productivity

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