In his book, An Inquiry into the Nature and Causes of the Wealth of Nations, Adam Smith credits economies of scale to
A)competition.
B)opportunity costs.
C)specialization.
D)incentives.

Question

Quizplus · Accepted Answer

Adam Smith believed that economies of scale could be achieved through specialization, as individuals and businesses could focus on producing a limited number of goods or services efficiently rather than trying to produce everything themselves. This increased efficiency and productivity would lead to lower costs and higher profits, creating wealth for the nation as a whole.

In His Book, an Inquiry into the Nature and Causes