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The Given Production Function Exhibits Which of the Following

Question 4

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The given production function exhibits which of the following? The given production function exhibits which of the following? A) constant returns to scale - for every 100% increase in input, there is a 100% increase in output. B) decreasing returns to scale - for every 100% increase in input, there is a .675% increase in output. C) decreasing returns to scale - for every 100% increase in input, there is a .425% increase in output D) increasing returns to scale - for every 100% increase in input, there is a 675% increase in output E) increasing returns to scale - for every 100% increase in input, there is a 425% increase in output.


A) constant returns to scale - for every 100% increase in input, there is a 100% increase in output.
B) decreasing returns to scale - for every 100% increase in input, there is a .675% increase in output.
C) decreasing returns to scale - for every 100% increase in input, there is a .425% increase in output
D) increasing returns to scale - for every 100% increase in input, there is a 675% increase in output
E) increasing returns to scale - for every 100% increase in input, there is a 425% increase in output.

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