Which of the Following Is Not an Example of Economies

Multiple Choice

Which of the following is not an example of economies of scale?

A) To produce tap water, the water companies had to invest in a huge network of water pipes.
B) Supermarkets can benefit from economies of scale, because they can buy food in bulk and get lower average costs.
C) Producing oil from tar sands in Alberta can generate profits only when the world price of a barrel of oil is high.
D) A bigger financial firm gets a lower rate of interest when borrowing.