Explain the external economies of scale
Explain the external economies of scale.
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External or pecuniary economies to huge size firms occur from the discounts available to this because of:
1. Huge scale purchase of raw materials
2. Huge scale acquisition of external finance at low interest
3. Lower advertising rate at fun advertising media.
4. Concessional transport charge upon bulk transport.
5. Lower wage rates when a large scale firm is monopolistic employer of exact type of specialized labour.
Therefore External economies of scale are strictly based upon experience of large –scale firms or well managed minute scale firms. Economies of scale will not carry on forever. Expansion within the size of the firms beyond a exact limit, so much specialization, inefficient supervision, offensive labour relations etc will go ahead to diseconomies of scale.
Explain the Expenditure Method of Measurement of Elasticity.
The most valuable human capital onto the given list would be possessed through a person who: (w) inherited a great deal of money. (x) invested large sums on the stock market. (y) had an advanced degree in music education. (z) specialized like a medica
A purely competitive firm which hires more workers while the value of the marginal product of labor increases above the competitively set wage rate will absolutely experience increases in its: (i) overhead costs. (ii) profit per unit.
If the wage rate increases from $25 per hour to $40 per hour, in that case the elasticity of the supply of labor from this worker is roughly: (i) zero. (ii) 7/15. (iii) 13/15. (iv) one. (v) minus 13/15. Q : Average wages for workers Average Average female wages are historically beneath the average for male workers due to: (w) concentration in low income occupations. (x) placement in low status job positions. (y) lower admission in professional schools and skilled trades.
Average female wages are historically beneath the average for male workers due to: (w) concentration in low income occupations. (x) placement in low status job positions. (y) lower admission in professional schools and skilled trades.
When this purely competitive labor market is primarily in equilibrium at D0L, S0L and after that excessive job safety standards are imposed through law, a new equilibrium will be attained at: (1) D0L, S0L. (
Explain the accounting cost concept in brief.
A purely competitive resource market shows that an individual firm faces a resource supply curve which is: (w) perfectly inelastic. (x) perfectly elastic. (y) downward sloping. (z) backward bending. Q : What is Diminishing Returns to Scale What is Diminishing Returns to Scale?
What is Diminishing Returns to Scale?
When labor was free, in that case this purely competitive firm as in illustrated graph would hire. (1) 600 workers. (2) 700 workers. (3) 800 workers. (4) 900 workers. (5) 1000 workers. Discover Q & A Leading Solution Library Avail More Than 1420148 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads No hassle, Instant Access Start Discovering 18,76,764 1943371 Asked 3,689 Active Tutors 1420148 Questions Answered Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!! Submit Assignment
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