[amp_mcq option1=”Temporary and permanent” option2=”Internal and external” option3=”Managerial and industrial” option4=”Natural and artificial” correct=”option2″]<\/p>\n
The correct answer is: B. Internal and external<\/strong><\/p>\n Economies of scale are cost advantages that a company gains due to increased production. These advantages can be divided into two types: internal and external.<\/p>\n Internal economies of scale are cost advantages that a company gains by increasing the scale of its production within a single plant or facility. These advantages can be achieved through a number of factors, such as specialization, division of labor, and learning by doing.<\/p>\n External economies of scale are cost advantages that a company gains by increasing the scale of its production in an entire industry. These advantages can be achieved through a number of factors, such as the availability of specialized suppliers, the development of infrastructure, and the growth of a skilled workforce.<\/p>\n The other options are incorrect because they do not accurately reflect the two types of economies of scale.<\/p>\n [amp_mcq option1=”Temporary and permanent” option2=”Internal and external” option3=”Managerial and industrial” option4=”Natural and artificial” correct=”option2″]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12],"tags":[],"class_list":["post-49792","post","type-post","status-publish","format-standard","hentry","category-economics","no-featured-image-padding"],"yoast_head":"\n\n