All inputs are increased by the same proportion and the output increases more than proportionately, this means that:
(a) Constant returns to scale are present.
(b) Increasing returns to scale are present.
(c) Decreasing Returns to Scale.
(d) None of the above.
Answer: (b) Increasing returns to scale are present.
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In a given year, a country's GDP = $3843, net factor payments from abroad = $191, taxes = $893, transfers received from the government = $422, interest payments on the government's debt = $366, consumption = $3661, and government purchases = $338
Calculate the values of private saving, government saving, and national saving.
As of the end of 1994, which of the countries in our survey had the largest proportion of stock held by individuals?
A) The United Kingdom B) The United States C) Japan D) Germany
Bank A receives a deposit of $40,000 . If the value of the money multiplier in the economy is equal to 5, the bank has to maintain a minimum reserve of: a. $10,000. b. $12,000. c. $8,000
d. $9,000.
If a firm increases its capital stock per person while holding constant the number of workers employed, the firm is said to experience:
A. capital augmentation. B. investment deepening. C. labor intensity. D. capital deepening.