Meaning and types of economies of scale
Economies of scale and what it consists of :-Economies of scale refer to benefits which accrue to a firm due to the increase of its scale of production. They are advantages enjoyed because of expansion of a firm.Types:-internal economies of scale-External economies of scale.Internal economies of scale:-refer to benefits that a firm enjoys when it expands its output or enlarges its scale of production.-this results to reduction of costsIt consists of :1. Technical economies of scale2. Managerial economies of scale3. Marketing economies of scale4. Financial economies of scale5. Risk bearing economies of scale6. Welfare economies of scale7. Research economies of scale.