An Economy's Production Function Has the Constant-Returns-To-Scale Property

question 112

Multiple Choice

An economy's production function has the constant-returns-to-scale property.If the economy's labor force doubled and all other inputs stayed the same,then real GDP would

• A)stay the same.
• B)increase by exactly 50 percent.
• C)increase by exactly 100 percent.
• D)increase,but not necessarily by either 50 percent or 100 percent.

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Definitions:

Socialist Party

A political party advocating for socialism, which includes the belief in social ownership, democratic control of the means of production, and the political ideology focused on social equality.

Eugene Debs

was an American socialist, political activist, trade unionist, and one of the founding members of the Industrial Workers of the World, as well as a five-time Socialist Party of America presidential candidate.

Nationalize

The process by which a government takes ownership and control of a private industry or assets, typically for the purpose of redistributing wealth and maintaining essential services.

Conservation Movement

A progressive reform movement focused on the preservation andsustainable management of the nation’s natural resources.