Asked by
Mrutyunjay Barik
on Nov 04, 2024
Verified
Sources of ________ include larger industry size resulting in lower production costs.
A) external diseconomies of scale
B) internal diseconomies of scale
C) external economies of scale
D) internal constant returns to scale
External Economies of Scale
Cost advantages that a firm obtains due to the expansion of the industry in which it operates, but not due to its own expansion.
Industry Size
A measure of the total production or the total number of participants in a particular industry or market.
- Explore how external and internal economies and diseconomies of scale influence the average costs over a long duration.
Verified Answer
KO
Learning Objectives
- Explore how external and internal economies and diseconomies of scale influence the average costs over a long duration.