Economies of scopeare savings acquired by
A. producing many goods simultaneously.
B. producing enough of one good to reach the minimum efficient scale of production.
C. selling one product at a loss but selling other products at a profit.
D. decreasing the regulation of an industry.
Answer: A
You might also like to view...
The premium on a college education increases when
(a) the market demand for knowledge and skilled workers decreases, and all else is held constant. (b) the market supply of knowledge and skilled workers increases, and all else is held constant. (c) the growth in the demand for knowledge and skilled workers outpaces the growth in supply. (d) the growth in the supply of knowledge and skilled workers outpaces the growth in demand.
You purchased two stocks that are perfectly negatively correlated
A) Your portfolio is well diversified, so you should face no risk whatsoever. B) Even though you diversified the idiosyncratic risk away, your portfolio is still affected by systemic risks like a stock market crash. C) Even though you diversified the systemic risk away, your portfolio is still affected by idiosyncratic risks like a stock market crash. D) Your portfolio is not diversified; thus you face no systemic risk.