Economies of scale can be caused by
A)all of the following
B)short-run increases in marginal productivity
C)the use of larger, more specialized machines
D)higher information costs as a firm expands
E)bureaucratic red tape as a firm expands

Question

Quizplus · Accepted Answer

Economies of scale occur when a firm reduces its average costs by increasing production, often through the use of larger, more specialized machines that improve efficiency.

Economies of Scale Can Be Caused by