What economic concept would be most closely associated with a situation where an aluminum plant expands its operations and uses extensive computerization in the production line to reduce per-unit costs of production?

Question

Quizplus · Accepted Answer

Economies of scale refer to the cost advantages that a business can exploit by expanding its scale of production, leading to a reduction in per-unit costs. The aluminum plant's expansion and use of computerization to reduce costs is an example of this concept.

What Economic Concept Would Be Most Closely Associated with a Situation