This is when an increase in the number of users of an output of a firm implies an increase in the value of the output to each of them because they are connected to each other.
a. network economies of scale
b. network economies of proportion.
c. diseconomies of scale
d. economies of proportion

Network economies of scale  is when an increase in the number of users of an output of a firm implies an increase in the value of the output to each of them because they are connected to each other.

Option a

Explanation:

They occur when the number of consumers of a company's product rises, as they are connected to one another, because the output value for each of them decreases.

The best describe network economics is to suggest that the additional cost of adding a further user to the Network is near zero, but this may have huge advantages because every new user can then connect with the network and communicate with all existing network users or sections.

E-commerce growth is an excellent example of network economics – adding 10,000 new customers to their platforms doesn't cost Amazon a lot (if anything), but the sales and benefit benefits are important.

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