External Economies of Scale Can Occur When

question 83

Multiple Choice

External economies of scale can occur when

• A) an industry's firms become more dispersed.
• B) there is a decrease in specialized workers.
• C) firms seek out consultants for technical knowledge.
• D) knowledge of production technology spreads through direct contacts.

---

Definitions:

CDS Seller

A counterparty in a credit default swap agreement who provides credit protection, compensating the buyer in case of a debt default or other credit event.

Predatory Lending

Unscrupulous lending practices that impose unfair, deceptive, or abusive loan terms on borrowers, often leading to a debt trap.

Monthly Payments

Regular payments made on a loan or mortgage, usually consisting of principal and interest components, occurring once a month.

Commission-Driven Brokers

Financial agents whose earnings are primarily derived from commissions on sales or transactions they facilitate for clients.