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Returns to Scale and Economies of Scale: Further Observations
Gregory M. Gelles and Douglas W. Mitchell
The Journal of Economic Education
Vol. 27, No. 3 (Summer, 1996), pp. 259-261
Published by: Taylor & Francis, Ltd.
Stable URL: http://www.jstor.org/stable/1183297
Page Count: 3
You can always find the topics here!Topics: Economies of scale, Economic regions, Diseconomies of scale, Increasing returns to scale, Microeconomics, Input prices, Production functions, Diseconomies, Economics education, Average cost
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Despite discussions about the relationship between returns to scale and economies of scale under assumptions of constant and nonconstant input prices, mistakes continue to be made in textbooks on these issues. This article demonstrates the pointwise relation between returns to scale and economies of scale, with an adaption to a calculus-based intermediate microeconomics class.
The Journal of Economic Education © 1996 Taylor & Francis, Ltd.