Why are hospitals used as an example of economies of scope?© BrainMass Inc. brainmass.com September 21, 2018, 1:56 am ad1c9bdddf - https://brainmass.com/economics/output-and-costs/economies-of-scope-and-home-healthcare-373616
Why are hospitals used as an example of economies of scope?
According to David Kass in his 1998 article, "Economies of Scope and Home Healthcare," economies of scope exist if a firm can produce several product lines at a given output level more cheaply than a combination of separate firms each producing a single product at the same output level. Economies of scope differ from economies of scale in that a firm ...
Economies of Scope and Home Healthcare are featured. References are also provided to further validate the findings.