Multiple Choice
Assume a firm is using 10 units of capital and 10 units of labour and is producing 10 widgets per hour.Now it doubles both inputs,resulting in output of 30 widgets per hour.This firm is experiencing
A) decreasing returns to scale.
B) increasing returns to scale.
C) constant returns to scale.
D) diseconomies of scale.
E) increasing costs.
Correct Answer:
Verified
Correct Answer:
Verified
Q8: Consider the long-run average cost curve for
Q9: Consider a firm that uses only labour
Q10: TABLE 8-1<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5441/.jpg" alt="TABLE 8-1
Q11: Assume a firm is using 6 units
Q12: Which of the following factors is most
Q14: Suppose that capital costs $10 per unit
Q15: Refer to Figure 8-6.As this firm is
Q16: When there is no other way of
Q17: TABLE 8-1<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5441/.jpg" alt="TABLE 8-1
Q18: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5441/.jpg" alt=" FIGURE 8-4 -Refer