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lover567 lover567
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5 years ago
What factors generate economies of scale?
Textbook 
Economics Today: The Micro View

Economics Today: The Micro View


Edition: 19th
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5 years ago
 Economies of scale can be generated by specialization. As a firm's scale of operations increases, there are more opportunities for specialization of labor, and this usually is very productive. Further, there are certain physical relationships that generate economies of scale, such as that between the volume of a cylinder and the diameter of the cylinder. Finally, large-scale enterprise can take advantage of larger volume types of machinery which lower per-unit costs.
lover567 Author
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5 years ago
Such a godsend, you helped me and my friend big time
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