For This Question,assume That There Are Decreasing Returns to Capital,decreasing

question 47

Multiple Choice

For this question,assume that there are decreasing returns to capital,decreasing returns to labor,and constant returns to scale.Now suppose that both capital and labor decrease by 5%.Given this information,we know that output (Y) will

• A)not change.
• B)decrease by less than 5%.
• C)decrease by 5%.
• D)the reduction in Y will be more than 5% but less than 10%
• E)none of the above

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Definitions:

Worker Morale

The overall outlook, attitude, satisfaction, and confidence that employees feel towards their work and workplace.

Quality Circle

A volunteer group composed of workers who meet together to discuss workplace improvement and problem-solving strategies.

Internal Customers

Employees or departments within an organization who depend on the support or services provided by other parts of the company to fulfill their job duties.

Workflow

The sequence of industrial, administrative, or other processes through which a piece of work passes from initiation to completion.