If a firm's production function is given by Q = K0.3L0.3 then it exhibits а. Decreasing returns to scale b. Increasing returns to scale С. Constant returns to scale d. Impossible to say without more information.

If a firm's production function is given by Q = K0.3L0.3 then it exhibits а. Decreasing returns to scale b. Increasing returns to scale С. Constant returns to scale d. Impossible to say without more information.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

If a firm's production function is given by Q = K0:3L0.3 then it exhibits
%3D
a. Decreasing returns to scale
b.
Increasing returns to scale
C.
Constant returns to scale
d. Impossible to say without more information.

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