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Variety of riverside ranger t-shirts

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The variety of Riverside Ranger T-shirts includes 12 different designs. Setup between designs takes one hour (and $18,000), and, after setting up, you can produce 1,000 units of a particular design per hour (at a cost of $8,000). Does this production exhibit scale economies or scope economies? Justify your answer.

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Reference no: EM133131930

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