Assume That Constant Returns to Scale Exists and That N

question 22

Multiple Choice

Assume that constant returns to scale exists and that N and K both increase by 2%.Given this information,we know that

• A)output (Y)will increase by 4%.
• B)Y will increase by 2%.
• C)Y will increase by less than 2%.
• D)Y will increase by less than 4% and more than 2%.

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Definitions:

Criminal Crises

Situations or periods characterized by a significant increase in criminal activity, threatening public safety and requiring urgent responses.

Product Tampering

The act of deliberately altering or contaminating a product in a way that is intended to cause harm or distress.

Hostage Taking

The illegal act of capturing and holding individuals against their will, often to procure ransom or fulfill demands.

Satisficing

A decision-making strategy that aims for a satisfactory or adequate result, rather than the optimal solution.