Which of the following is NOT an example of a decreasing cost industry?
A) movie production in Hollywood
B) the retail clothing industry
C) computer technology in Silicon Valley
D) the carpet industry in Dalton, Georgia

Question

Quizplus · Accepted Answer

The retail clothing industry is not an example of a decreasing cost industry because as the industry grows, there are higher costs associated with marketing, inventory, and production. Movie production in Hollywood, computer technology in Silicon Valley, and the carpet industry in Dalton, Georgia are all examples of decreasing cost industries because as they grow, they benefit from economies of scale, technology improvements, and experience that lead to lower costs per unit of production.

Which of the Following Is NOT an Example of a Decreasing