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You are here: Home / Potpourri / Economics 101: Diseconomies Of Scale

Economics 101: Diseconomies Of Scale

Economics 101: Diseconomies Of Scale

[This is part of the series: The Complete Guide To Economics 101.]

What are diseconomies of scale?

Diseconomies Of Scale is an increase in cost per unit as quantity produced increases.

Diseconomies of scale can result, for example, from increased transportation costs and the crowding impact seen in the decreasing impact of hiring more and more employees.

Obviously, diseconomies of scale is the opposite of economies of scale.

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Filed Under: PotpourriTagged With: #Economics101

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