I don't understand risk-bearing in economies of scale, can somebody explain it to me please?

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Economies of Scale- I don't understand how risk-bearing is an economie of scale and what is actually works, i don't understand much of the others either

Posted Thu 2nd June, 2011 @ 15:08 by Beni Kiganda Kavangama

3 Answers

  • 3 votes

risk bearing is basically that as a firm gets larger it will be able to take more risks on a product or idea as they have many other ideas/products to fall back on(they can spread the risk)

Answered Tue 7th June, 2011 @ 18:43 by bek
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Economies of scale is when a business gets so big that it can pass products onto consumers at a lower price. These businesses are often monopolys. I don't know what risk bearing is sorry.

Answered Sun 6th May, 2012 @ 18:23 by You know it
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Economies of scale is when a business gets so big that it can pass products onto consumers at a lower price. These businesses are often monopolys. I don't know what risk bearing is sorry.

Answered Sun 6th May, 2012 @ 18:23 by You know it