Consider the following two concepts. Are these concepts properly defined? Definition I) An economy of scale is when short run average costs rise as output (q) increases. Definition II) A perfect substitutes production function is one where the marginal rate of technical substitution is either zero or infinity. Select one: a. Definition II is correct but definition I is incorrect. b. Both terms are correctly defined. c. Definition I is correct but definition II is incorrect. d. Both terms are incorrectly defined.

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