The Main Sources of Economies of Scale Are

question 90

Multiple Choice

The main sources of economies of scale are

• A) decreasing marginal cost and increasing marginal product.
• B) caused by the difficulty of coordinating and controlling large enterprises.
• C) an increase in a firm's bargaining power to lower the wage rate and the cost of capital as the firm's output increases.
• D) increasing marginal cost and decreasing marginal product.
• E) specialisation of resources such as labour and capital.