One reason for diseconomies of scale is that as output becomes larger and larger,
A)costs per unit decrease.
B)management systems become more efficient.
C)the number of workers increases.
D)management systems can become more complex and inefficient.
E)workers become more efficient.

Question

Quizplus · Accepted Answer

As output becomes larger, management systems can become more complex and inefficient. Larger organizations may have difficulty coordinating and communicating across various departments or locations, which can lead to inefficiencies and increased costs.

One Reason for Diseconomies of Scale Is That as Output