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Economics · May / June 2025 · Paper 11 · Question 14

2281Firms

There has been an improvement in the transport infrastructure in India that reduces the costs of farming. What is this an example of?

  1. Aexternal diseconomies of scale
  2. Bexternal economies of scale
  3. Cinternal diseconomies of scale
  4. Dinternal economies of scale

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Correct answer: B. external economies of scale

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