More Efficient Use of Lumpy Inputs
{"Image DocumentName": "More Efficient Use of Lumpy Inputs", "Image ImageDescription": "Another explanation for economies of scale involves the lumpy nature of many types of plant and equipment. Some types of inputs cannot be increased in tiny increments, but rather must be increased in large jumps. Plant and equipment must be purchased in large lumps. Low cost per unit is achieved only at high levels of output. Making more efficient use of lumpy inputs will have more impact on LRATC at low levels of output. When these inputs make up a greater proportion of the firm\u2019s total costs. At high levels of output, the impact is smaller.", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}