Increasing-cost industry

Increasing-cost industry,

Definition of Increasing-cost industry:

  1. An industry for which the costs of production increase as the number of companies involved with that industry increases. This happens because each new company in the industry increases demand for supplies and factors needed for production. Increasing-cost industries tend to require goods or services for production that are inelastic in supply.

Meaning of Increasing-cost industry & Increasing-cost industry Definition