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AP® Human Geography

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Moderate

Diseconomies of Scale in Agriculture

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If a single firm becomes too large, it may experience "diseconomies of scale."

Which is an example of diseconomies of scale in agriculture?

A

A large supermarket chain buys its fresh fruits in greater quantities from a supplier.

B

A single candy bar requires inputs and production in multiple states around the world.

C

A corporation can manage multiple farms throughout an entire region, instead of just one farm.

D

A large brewery can borrow money more cheaply than a local distillery.

E

A franchise takes longer to respond to the changing demands of a local market than the town bakery.