Which of the Following Physical Relationships Might Generate Economies of Scale

question 169

Multiple Choice

Which of the following physical relationships might generate economies of scale?

• A) Proportionally larger pipes can transport more than a proportional increase in oil.
• B) Larger equipment tends to weigh more and use more fuel on a per-unit-of-output basis.
• C) Each lift truck requires one lift truck driver.
• D) A doubling of all inputs leads to a doubling of output.

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Definitions:

Jean Piaget

A Swiss psychologist known for his pioneering work in the study of child development and his theory of cognitive development.

Milestones

Significant points in development or events marking important stages or achievements in a process.

Dominant Gene

A gene that expresses its phenotype over another gene, the recessive gene, when they are both present in a pair of alleles.

Recessive Gene

A gene that produces its characteristic phenotype only when its allele is identical, otherwise being masked by the effects of a dominant gene.