The presence of significant scale economies in an industry implies that
A) a large share of the market would be required by each firm to achieve the lowest possible cost per unit.
B) the minimum efficient scale of operation occurs at fairly low output levels.
C) barriers to entry in the industry are non-existent.
D) this industry is more efficient than others.
E) the firms in the industry will behave as perfect competitors.
Correct Answer:
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