Economies of Scale

Economies of scale

A) refer to the rising scale on which efficiency improves as a result of cumulative experience and learning.
B) are the predictable decline in the average cost of producing each unit of output as a production facility gets larger and output increases.
C) are only relevant to manufacturing industries.
D) occur due to the presence of abundance resource endowments within a nation.
E) are difficult to achieve if fixed costs are high.