Assume a Firm Is Using 6 Units of Capital and 6

question 11

Multiple Choice

Assume a firm is using 6 units of capital and 6 units of labour to produce 6 baskets.Now it doubles both inputs resulting in a new total of 16 baskets being produced.This firm is experiencing

• A)decreasing returns to scale.
• B)increasing returns to scale.
• C)constant returns to scale.
• D)diseconomies of scale.
• E)increasing costs.

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Definitions:

Schizophrenia

A mental health disorder characterized by distortions in thinking, perception, emotions, language, sense of self, and behavior, often resulting in hallucinations, delusions, and cognitive difficulties.

Catatonia

A psychiatric condition characterized by motor disturbances, including immobility, repetitive motions, or resistance to movement.

Flat Affect

A severe reduction in emotional expressiveness where individuals appear extremely calm and impassive, often seen in mental health conditions.

Repetitive Movement

Actions or motions that are performed over and over again, often indicative of a behavioral or neurological condition.