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What are economies of scale?

What are economies of scale? Here are some definitions.

Noun
  1. (economics) The characteristics of a production process in which an increase in the scale of the firm causes a decrease in the long run average cost of each unit.
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Just ask the people behind the EU and NAFTA, combines created to lure investment and enhance economies of scale.
Where there were few opportunities for economies of scale in production, brands had little role to play.
Benefits of horizontal integration to both the firm and society may include economies of scale and economies of scope.
It just needs to take market share, gain economies of scale, and grow profitably.
He called for regional and local certification so that farmers could enjoy economies of scale in production.
Second, there are intellectual as well as technical economies of scale, external economies, and complementarities.

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