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    Exam 6: Firms and Production
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    Show That Increasing Returns to Scale Can Co-Exist with Diminishing
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Show That Increasing Returns to Scale Can Co-Exist with Diminishing

Question 97

Question 97

Essay

Show that increasing returns to scale can co-exist with diminishing marginal productivity.To do so,provide an example of a production function with IRTS and diminishing marginal returns.

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A number of production functio...

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