Examples of economies of scale are:

Question

Quizplus · Accepted Answer

Economies of scale refer to the phenomenon where the cost per unit of production decreases as the volume or scale of production increases. Option C, the reduction in cost per transaction as the number of transactions increase, clearly exemplifies economies of scale. Options A and D, on the other hand, reflect the additional costs that might arise due to smaller scale transactions or information overload, respectively. Option B could be a possible outcome of economies of scale but doesn't specifically mention the cost per unit or transaction decreasing with volume.

Examples of Economies of Scale Are