A Production Manager Notices That When She Triples All of Her

question 17

Multiple Choice

A production manager notices that when she triples all of her inputs simultaneously, her output doubles. The production manager determines that for this range of output, the production function exhibits:

• A)increasing returns to scale.
• B)constant returns to scale.
• C)decreasing returns to scale.
• D)undefined returns to scale.

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Definitions:

Total Resistance

The overall opposition to electric current flow in a series circuit, calculated by summing the resistance values of all components.

Series Circuits

Electrical circuits in which components are connected end-to-end, so that there is only one path for current flow.

Voltage Drop

The reduction in voltage in a part of a circuit due to resistance or impedance, seen in the difference in voltage across a component or conductor.

Santa Elena

A historical Spanish settlement and military fort on Parris Island in present-day South Carolina, notable during the 16th century as part of Spain's effort to colonize the southeastern U.S.