16-66 Which of the following occurs if the costs of joint production of FI services are higher than they would be if they were produced independently?
A)Economies of scale.
B)Diseconomies of scale.
C)Economies of scope.
D)Diseconomies of scope.
E)Constant returns to scale.

Question

Quizplus · Accepted Answer

When the costs of joint production of FI services are higher than they would be if they were produced independently, it results in diseconomies of scope. This occurs when producing multiple products or services together increases the cost of production compared to producing each product or service independently.

16-66 Which of the Following Occurs If the Costs of Joint