Which of the following is FALSE?
A)Economies of scale may be internal, external, or both.
B)With internal economies of scale, the gains from trade include a wider selection of consumer choices and lower prices.
C)With external economies of scale, the gains from trade are less certain since, in theory, they can lock in production in a less efficient country and prevent the development of production in a more efficient country.
D)Internal economies of scale lead firms to regionally concentrate their industry.

Question

Quizplus · Accepted Answer

Internal economies of scale lead firms to concentrate production within a firm rather than regionally concentrating an industry. External economies of scale are more likely to lead to regional industry concentration.

Which of the Following Is FALSE