Constant returns to scale for a firm would imply that
A)doubling input usage results in more than double the output.
B)doubling input usage results in less than double the output.
C)doubling input usage results in doubling the output.
D)there are decreasing costs per unit of output.

Question

Quizplus · Accepted Answer

Constant returns to scale imply that doubling input usage will result in a proportional increase in output. Therefore, doubling input usage will result in a doubling of the output.

Constant Returns to Scale for a Firm Would Imply That