Multiple Choice
An example of decreasing returns to scale is when capital and labour inputs:
A) both increase 10 percent and output increases 5 percent.
B) both increase 10 percent and output increases 10 percent.
C) both increase 5 percent and output increases 10 percent.
D) do not change and output increases 5 percent.
Correct Answer:
Verified
Correct Answer:
Verified
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