The Following Table Shows the Marginal Products of Capital (K)

question 92

Multiple Choice

The following table shows the marginal products of capital (K) and labour (L) for various methods for Firm ABC to produce 1000 toys per day. TABLE 8-2
-Refer to Figure 8-2. Increasing returns to scale occur over the output range

• A) Q₂ to Q₃ only.
• B) beyond Q₃ only.
• C) 0 to Q₁ only.
• D) Q₁ to Q₂ only.
• E) 0 to Q₃ only.

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