All Else Equal,if There Are Diminishing Returns and Constant Returns

question 75

Multiple Choice

All else equal,if there are diminishing returns and constant returns to scale,then what happens to productivity if capital and labor both increase but capital increases by more?

• A)Productivity will definitely fall.
• B)Productivity will definitely be unchanged.
• C)Productivity will definitely rise.
• D)None of the above are necessarily correct.

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Definitions:

Midterm

An examination or assessment occurring in the middle of an academic term or course.

Relationship

The way in which two or more concepts, objects, or people are connected, or the state of being connected.

Percentages

A way of expressing numbers as fractions of 100, used to describe proportions.

All-Nighter Narrative

A term not commonly defined in formal contexts, potentially referring to stories or experiences related to staying awake all night, often for study or work.