Farm Fresh!

Economies of Scale

In the midst of a recession, two farmers get together and come up with a way to improve their sales. They will collect watermelons from all the surrounding farms, pay the farmers 50 cents per melon, and then sell them at local markets in the area.

They rent a truck, drive out to several farms and load up the truck with the watermelons they purchase.

Next, they drive to the big city, some 400 miles away.  At the market, they sell the melons, 2 for $1.

It doesn't take long for them to sell the entire truckload.

On the way home one farmer says to the other, "You know, we really didn't make too much money.  How do you figure it?"

The other one answers, "We gotta get a bigger truck."

Heard a good one?

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