If Inputs Are Increased by 10 Percent and Output Increases

question 229

Multiple Choice

If inputs are increased by 10 percent and output increases by 10 percent,then __________ are said to exist.

• A) economies of scale
• B) constant returns to scale
• C) diseconomies of scale
• D) diminishing marginal returns

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Definitions:

Promissory Estoppel

A legal principle that prevents a promisor from revoking a promise when the promisee has reasonably relied on the promise to their detriment, thereby enforcing the promise to avoid injustice.

Governmental Contracts

Agreements entered into by government agencies with private entities or individuals for the supply of goods, services, or the undertaking of works.

Offerees

Individuals or entities to whom an offer is made, which they can either accept or reject.

Present Intent

A legal term referring to an individual's current intention to perform an act or designate a legal status, crucial for the validity of certain legal documents and transactions.