The socially optimal firm size is the size for a company in a given industry at a given time which results in the lowest production costs per unit of output. == Discussion == If only diseconomies of scale existed, then the long-run average cost-minimizing firm size would be one worker, producing the minimal possible level of output.
The socially optimal firm size is the size for a company in a given industry at a given time which results in the lowest production costs per unit of output. == Discussion == If only diseconomies of scale existed, then the long-run average cost-minimizing firm size would be one worker, producing the minimal possible level of output.
Source: Wikipedia "Optimal firm size" · CC BY-SA 4.0
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