Conservatives argue that mergers and combinations promote economic efficiency because of:

Question

Quizplus · Accepted Answer

Conservatives argue that mergers and combinations promote economic efficiency because of economies of scale. Economies of scale refer to the cost savings that come with an increase in production. This can occur because it becomes cheaper to produce goods in larger quantities, as fixed costs are spread out over more units.

Conservatives Argue That Mergers and Combinations Promote Economic Efficiency Because