Q330
If all inputs are trebled and the resultant output is doubled, this is a case of
A.
Constant returns to scale
B.
Increasing returns to scale
C.
Diminishing returns to scale
AnswerD.
Negative returns to scale
Answer: Option C
Solution
Answer: Option C
Solution:
If all inputs are trebled and the resultant output is doubled, this is a case of Diminishing returns to scale.