economy of scale

noun phrase

: a reduction in the cost of producing something (such as a car or a unit of electricity) brought about especially by increased size of production facilities
usually used in plural

Examples of economy of scale in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
This scale dwarfs European and North American national markets combined, creating an enormous economy of scale for manufacturers of black paints. New Atlas, 26 June 2026

Word History

First Known Use

1944, in the meaning defined above

Time Traveler
The first known use of economy of scale was in 1944

Browse Nearby Words

Cite this Entry

“Economy of scale.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/economy%20of%20scale. Accessed 2 Jul. 2026.

More from Merriam-Webster on economy of scale

Love words? Need even more definitions?

Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free!

More from Merriam-Webster