If Your Firm Has Constant Returns to Scale, What Would

question 190

Multiple Choice

If your firm has constant returns to scale, what would happen to your firm's output if you doubled all your inputs?

• A) It would not change.
• B) It would increase, but by less than double.
• C) It would double.
• D) It would more than double.

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Definitions:

Diagnosis

The process of determining which disease or condition explains a person's symptoms and signs.

Probability

A measure of the likelihood that an event will occur.

Surviving

Continuing to live or exist, typically despite an ordeal or difficult circumstances.

Disease X

A hypothetical unknown pathogen referred to by the World Health Organization that might lead to an epidemic in the future.