There is another benefit to living in a common interest community and paying HOA fees â the ability to use and enjoy community amenities you may not be able to purchase and maintain on your own, like a swimming pool, tennis courts or walking trails.
ECONOMIES OF SCALE. AND ECONOMIES OF SCOPE. Economies of scale are reductions in average costs attributable to production volume increases. They typically are defined in relation to firms, which may seek to achieve economies of scale by becoming large or even dominant producers of a particular type of product or service.
DEFINITION of 'Diseconomies Of Scale'. An economic concept referring to a situation in which economies of scale no longer function for a firm. Rather than experiencing continued decreasing costs per increase in output, firms see an increase in marginal cost when output is increased.or example, if in a product required both gadget A and gadget B, diseconomies of scale might occur if gadget B is produced at a slower rate than gadget A. 2) As output increases, costs of transporting the good to distant markets can increase enough to offset any economies of scale.