A Firm Has Increasing Returns to Scale If

question 50

Multiple Choice

A firm has increasing returns to scale if

• A) A proportional change in the use of all inputs produces a more than proportional change in output
• B) A proportional change in the use of all inputs produces a less than proportional change in output
• C) A proportional change in the use of all inputs produces the same proportional change in output
• D) An increase in capital leads to an increase in output

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Definitions:

Specific Evidence

Detailed and particular information or data that supports a claim or argument.

General Conclusion

A final statement or judgment that summarizes findings or opinions across a wide range of observations or analyses.

Audience Resistance

The reluctance or opposition shown by an audience towards the message being presented to them.

Hard-sell Approach

A sales strategy that uses aggressive tactics and pressure to convince customers to buy a product or service.