Economies of scale and efficient plant size in Canadian manufacturing industries
Read Online

Economies of scale and efficient plant size in Canadian manufacturing industries by Paul K. Gorecki

  • 516 Want to read
  • ·
  • 79 Currently reading

Published by Consumer and Corporate Affairs Canada in [Ottawa?] .
Written in English



  • Canada.


  • Industries -- Canada.,
  • Industries -- Size -- Canada.,
  • Economies of scale -- Canada.

Book details:

Edition Notes

Bibliography: p. 105-111.

Statementby Paul K. Gorecki.
SeriesResearch monograph - Research Branch, Bureau of Competition Policy ; no. 1
LC ClassificationsHC115 .G64
The Physical Object
Pagination111 p. :
Number of Pages111
ID Numbers
Open LibraryOL4480521M
LC Control Number79308816

Download Economies of scale and efficient plant size in Canadian manufacturing industries


ence of plant-level economies of scale than in, say, the chemical process industries. Nevertheless, scale econ- omies have been recognized among the forest industries- -mainly in pulp and paper, but also to a degree in plywood and lumber (5). Measurement of scale economies and efficient plant size in an industry is usually accomplished by comparingCited by: 6.   The number that is most relevant to the economies of scale for manufacturing is: Manufacturing target, M = n q () The manufacturing target sets the plant capacity for producing a particular product. Plant capacity is typically designed in light .   Economies of scale occurs when more units of a good or service can be produced on a larger scale with (on average) fewer input costs. support industries may then begin to develop, such as Author: Reem Heakal. Fuss, M.A., , The demand for energy in Canadian manufacturing: An example of the estimation of production structures with many inputs, Journal of Econometrics 5, Gorecki, P.K., , Economies of scale and efficient plant size in Canadian manufacturing industries (Research Branch, Bureau of Competition Policy, Ottawa).Cited by:

realize potential economies of scale can present a barrier to investment. Evidence that there are economies of scale in plant production cost is not in-consistent with the observation that in the United States most industries have at least several plants, often differing in size. This is explained both by historical development and by the other. At the point where the average costs are at a minimum, the minimum efficient scale (MES) of output of a firm or plant is reached. A distinction is often made between different types of economies of scale such as: Product specific economies of scale; and - Plant specific economies of scale. Research has established the existence of scale economies, but many of these studies suggest that, in a wide range of industries, minimum efficient scale, or the level of output or production necessary to operate at the lowest point on the average cost curve, occurs at relatively modest levels of output [Scherer, ]. Technological heterogeneity, scale efficiency, and plant size: Micro estimates for the West Malaysian manufacturing industry Article in The Developing Economies 21(3) - Author: Mathias BRUCH.

There are no significant differe,-s in either size of Ihe largest planT.s in the industry (i.e., average sum o,.~aiarics and depreciation of lop ,,~ pl:mtsj, export or market growth amor~, industries with economies of scale, induslrics without economies of scale at: induslries with negative economies of by: 9. (vi) Economies of Scale: As a firm grows in size, it is-possible for it to reduce its cost. The reduction in costs, as a result of increasing production is called economies of scale. The economies of scale are obtained by the firm up to the lowest point . define scale economies (SCALE) as one minus the cost elasticity of output: 81n C SCALE = 1 - 1ln Q' SCALE is positive for scale economies and negative for diseconomies of scale Cross-section data for manufacturing industries in India for were used in this study."1 They include all establishments employing Often external economies lead to internal economies. As pointed out by Mrs. Robinson, “Economies of large scale industry are likely to have the effect of altering the optimum size of the firm, and the reorganisation of the firm to adapt itself .