What are scale effect economics? What are some examples?

What are scale effect economics? What are some examples?

Scale effect economics is the idea that certain economic activities can become more efficient as they increase in size. This is because the costs associated with production, distribution, and other activities are spread over a larger number of units, resulting in lower costs per unit. Examples of scale effects economics can be seen in large-scale production and distribution, such as Amazon's fulfillment centers and Walmart's massive retail stores. Another example is the airline industry, where larger planes and increased passenger numbers result in cost savings. Additionally, scale effect economics can be seen in banking, where the cost of processing payments decreases as the number of customers increases.

Continue reading...

What does 'economic equity' mean? What are some examples?

What does 'economic equity' mean? What are some examples?

Economic equity is the idea of a fair and just economic system where opportunities are provided to all individuals regardless of race, gender, or socio-economic status. It means ensuring that everyone has access to resources, services, and opportunities to create and maintain economic security. Examples of economic equity include living wage jobs, access to capital for entrepreneurs, and affordable housing and healthcare. It also includes policies aimed at reducing income inequality, such as progressive taxation, increasing the minimum wage, and providing universal basic income. Economic equity is essential to ensure that everyone has the opportunity to thrive.

Continue reading...