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3.5.5 Economies and diseconomies of scale

Unit 3.5.5 - Economies and diseconomies of scaleThis section of the Cambridge IGCSE Economics (0455) syllabus requires students to understand how internal and external economies and diseconomies of scale can affect a firm and industry as the scale of production changes.Economies of scale enable a firm to benefit from lower average costs (the cost per unit) by increasing the size of its operations. Hence, economies of...

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