Increasing Returns to Scale in Production Means

question 110

Multiple Choice

Increasing returns to scale in production means:

• A) more than 10% as much of all inputs are required to increase output 10%.
• B) less than twice as much of all inputs are required to double output.
• C) more than twice as much of only one input is required to double output.
• D) isoquants must be linear.

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Definitions:

Conical-Shaped Hill

A landform with a circular base and sloping sides that converge to a point at the top, resembling the shape of a cone.

Fresh Ash Layers

Recent deposits of volcanic ash, consisting of fine particles of volcanic glass, created during volcanic eruptions.

Flat-Topped Mesa

A broad, flat, elevated landform with steep sides, commonly found in arid and semi-arid regions.

Crater

A bowl-shaped depression or cavity on the surface of the Earth, moon, or other celestial body, typically formed by volcanic activity or meteorite impact.