An industry's level of concentration is largely determined by the existence of economies of scale.

Name: An industry's level of concentration is largely determined by the existence of economies of scale.
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Industries with economies of scale tend to have high levels of concentration because larger firms can spread costs over a larger volume of production, making it difficult for smaller firms to compete. This creates barriers to entry and allows larger firms to dominate the market.

An Industry's Level of Concentration Is Largely Determined by the Existence