Title
(8) Economies of Scale II: Causes & Interplay with Market Size
Topic Category
Cost
Publication Date
2011
Keywords
Economies of Scale, Diseconomies of Scale, Constant Returns to Scale, Shape of Long Run Average Cost Curve, Scale and Market Size
Abstract
This explores and explains possible causes or sources of economies of scale. Then the interplay between scale and overall market size is discussed as a way of explaining the number and size distribution of firms in a market.
Recommended Citation
Crane, Steven E., "(8) Economies of Scale II: Causes & Interplay with Market Size" (2011). Principles of Microeconomics. Paper 54.
http://epublications.marquette.edu/microecon_learning/54
Run Time
7:54
Primary Discipline
Microeconomics
Skills Delivered
Ability to identify and explain possible causes of Scale Economies. Ability to predict size distribution of firms in a market based upon information about Scale and the overall size of the market.
Rigor Level
2000
Prerequisites
Previous Cost Videos