Match the correct answer to each of the below statements.
(a) When an increase in labour (all else fixed) leads to an increase in output, this is called:
(b) When all inputs are increased by 3% and as a result output increases by 2%, this is called:
(c) When all inputs are increased and per unit costs fall, this is called:

(i) decreasing returns to scale.
(ii) marginal returns to a factor.
(iii) economies of scale.

Question

Match the correct answer to each of the below statements.
(a) When an increase in labour (all else fixed) leads to an increase in output, this is called:
(b) When all inputs are increased by 3% and as a result output increases by 2%, this is called:
(c) When all inputs are increased and per unit costs fall, this is called:

(i)	decreasing returns to scale.
(ii)	marginal returns to a factor.
(iii)	economies of scale.

Quizplus · Accepted Answer

The Answer of Match the correct answer to each of the below statements.
(a) When an increase in labour (all else fixed) leads to an increase in output, this is called:
(b) When all inputs are increased by 3% and as a result output increases by 2%, this is called:
(c) When all inputs are increased and per unit costs fall, this is called:

(i)	decreasing returns to scale.
(ii)	marginal returns to a factor.
(iii)	economies of scale.

Match the Correct Answer to Each of the Below Statements