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Economics: Difference between revisions
→Week 37 - Modern trade theories, trade policy: In economics, internalization can refer to the practice of
(→Week 37 - Modern trade theories, trade policy: sourcing definition of w:economies of scope) |
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* '''[[w:Economies of scope|Economies of scope]]''' are conceptually similar to [[w:economies of scale|economies of scale]]. Whereas economies of scale for a firm primarily refers to reductions in the [[w:average cost|average cost]] (cost per unit) associated with increasing the scale of production for a ''single product type'', economies of scope refers to lowering the [[average cost]] for a firm in producing ''two or more'' products. | * '''[[w:Economies of scope|Economies of scope]]''' are conceptually similar to [[w:economies of scale|economies of scale]]. Whereas economies of scale for a firm primarily refers to reductions in the [[w:average cost|average cost]] (cost per unit) associated with increasing the scale of production for a ''single product type'', economies of scope refers to lowering the [[average cost]] for a firm in producing ''two or more'' products. | ||
* In economics, [[w:internalization#Economics and management|internalization]] can refer to the practice of multinational enterprises (MNEs) to execute transactions within their organization rather than relying on an outside market. | |||
== Week 38 - No class, work on report == | == Week 38 - No class, work on report == | ||