At very high population density, diseconomies of scale and moral hazard behavior may set in (ibid.).
This suggests that economies or diseconomies of scale in woodlot management are weak.
Finally, the size of the woodlot is included to investigate whether there are economies (or diseconomies) of scale in woodlot protection and management.
Given the findings that the sites in this sample exhibited variable returns to scale, the types of diseconomies of scale were examined next.
However, near full capacity significant diseconomies will occur, because marginal costs begin to increase.
The economies of scale of collective action may diminish, or be replaced by diseconomies of scale at higher population density.
To these have to be added the additional problems caused by isolation and diseconomies of scale.
Cocoa, it seems, is not subject to economies of scale and may in fact be subject to diseconomies of scale.
