ECONOMIES OF SCALE IN COMPUTER USE: INITIAL TESTS AND IMPLICATIONS FOR THE COMPUTER UTILITY.
Abstract
The study is concerned with the existence of economies of scale in the production of data processing and other computing services, and the possible regulatory and public policy implications of such economies. An analysis was made of data on nearly 10,000 computers installed at firms in manufacturing industries, using the survival technique, which uses market experience as a basis for studying levels of optimum plant size. The results of this analysis suggested that users did operate computers as if there were significant economies of scale in their use. (Author)
Document Details
- Document Type
- Technical Report
- Publication Date
- Jun 01, 1970
- Accession Number
- AD0710011
Entities
People
- Lee L. Selwyn
Organizations
- Massachusetts Institute of Technology