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:

Biological Diversity

The variety and variability of life on Earth, including diversity within species, between species, and of ecosystems.

Biodegradable

Materials that can be broken down into natural elements by microorganisms over time, without harming the environment.

Decomposers

Organisms such as fungi and bacteria that break down dead organic material, returning nutrients to the ecosystem.

Biomass Pyramid

A graphical representation showing the relative amount of living organic matter available at each trophic level in an ecosystem.