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The Following Table Provides Information About the Relationship Between a Firm's

Question 10

Multiple Choice

The following table provides information about the relationship between a firm's output and its factors of production in the short run:
The following table provides information about the relationship between a firm's output and its factors of production in the short run:    Which one of the following statements describes the situation in this firm? A)  There are constant returns to scale. B)  There are increasing returns to scale. C)  There are diminishing returns to scale. D)  There are increasing marginal returns. E)  There are diminishing marginal returns. Which one of the following statements describes the situation in this firm?


A) There are constant returns to scale.
B) There are increasing returns to scale.
C) There are diminishing returns to scale.
D) There are increasing marginal returns.
E) There are diminishing marginal returns.

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