Discussion
A learning curve of 80 per cent means that
Answer: D
Correct answer: Each doubling of output costs 80 per cent of the last
A learning curve is defined on doublings of cumulative output, not on individual units. An 80 per cent curve means the hundredth unit costs 80 per cent of the fiftieth, the two-hundredth 80 per cent of the hundredth, and so on:
\[ C_n = C_1 n^{\log_2 0.8} = C_1 n^{-0.322} \]
Because doublings become progressively harder to achieve, most of the saving arrives early: the eighth unit already costs \( 0.8^3 = 0.512 \) of the first, but reaching half that again would take another 56 aircraft.
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