Most research oriented universities have many different colleges, each with separate administrations, students, curricula, and facilities. However, the university continues to exist as a total unit because of:
A) industry economies of scale
B) locational monopoly
C) economic inefficiencies
D) negative externalities

Question

Quizplus · Accepted Answer

Industry economies of scale refer to the cost advantages that enterprises obtain due to their scale of operation, with cost per unit of output decreasing with increasing scale. In the context of research-oriented universities, having many different colleges under one university allows for shared resources, administrative efficiencies, and broader educational offerings, which can lead to lower costs and increased productivity overall. This concept helps the university exist as a total unit despite the diversity of its colleges.

Most Research Oriented Universities Have Many Different Colleges, Each with Separate