Which of the following industries is most likely to exhibit significant economies of scale?

Question

Quizplus · Accepted Answer

Electric power generation requires large fixed costs such as building power plants and laying transmission lines, as well as high variable costs such as fuel and maintenance, making it likely to have economies of scale. As the amount of electricity produced increases, the average cost per unit tends to decrease, resulting in lower costs and higher efficiency.

Which of the Following Industries Is Most Likely to Exhibit