Q151
Economies of scale are of two kinds
A.
Temporary and permanent
B.
Internal and external
AnswerC.
Managerial and industrial
D.
Natural and artificial
Answer: Option B
Solution
Answer: Option B
Solution:
Economies of scale are of two kinds Internal and external. Internal economies of scale are firm-specific or caused internally while external economies of scale occur based on larger changes outside the firm. Both result in declining marginal costs of production, yet the net effect is the same.