Decreasing returns to scale refers to a situation that when capital and labor both double,

Name: Decreasing returns to scale refers to a situation that when capital and labor both double,
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Quizplus · Accepted Answer

Decreasing returns to scale means that as input (capital and labor) increases, output increases at a decreasing rate. In this case, when both capital and labor double, output will increase by less than double. Therefore, output will be less than double.

Decreasing Returns to Scale Refers to a Situation That When