If all inputs are doubled and output more than doubles, there are

constant returns to scaleCorrect answerYour answerincreasing returns to scaleCorrect answerYour answerdecreasing returns to scaleCorrect answerYour answerdiminishing marginal productCorrect answerYour answer

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CorrectNot quiteAnswer B

Correct answer: B

Output rising by a larger proportion than inputs is increasing returns to scale.

Concept: Increasing returns to scale
Typical timeTypical: 40 s
Your timeYours: —

The rule this testsReturns to scale

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Ten questions from Production Function: TP, MP and AP, at your own pace.

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Ten questions from Production Function: TP, MP and AP, at your own pace.

Practise this chapter All 62 questions in Production Function: TP, MP and AP Revise the notes for Production Function: TP, MP and AP

If all inputs are doubled and output more than doubles, there are

Explanation