Question #5
Reading: Reading 32 Introduction to Commodities and Commodity Derivatives
PDF File: Reading 32 Introduction to Commodities and Commodity Derivatives.pdf
Page: 2
Status: Incorrect
Correct Answer: A
Your Answer: B
Question
Which commodity is most likely to be characterized by large economies of scale in production?
Answer Choices:
A. Copper
B. Wheat
C. Cattle
Explanation
Production of industrial metals such as copper has large economies of scale in mining and
processing.