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3. Many production functions have a property called constant returns to scale, about constant returns to scale，which of the following is WRONG? A. This property implies that as all inputs are doubled, output will exactly double. B. This implies that must be true C.This also means that if we want to examine output per worker we could set x = 1/L and we would get D. None of the above is true

3. Many production functions have a property called constant returns to scale, about constant returns to scale，which of the following is WRONG? A. This property implies that as all inputs are doubled, output will exactly double. B. This implies that must be true C.This also means that if we want to examine output per worker we could set x = 1/L and we would get D. None of the above is true

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)
Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)
14th Edition
ISBN:9781305506381
Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Chapter7: Production Economics
Section: Chapter Questions
Problem 8E
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3. Many production functions have a property called constant returns to scale, about constant returns to scale，which of the following is WRONG?

A. This property implies that as all inputs are doubled, output will exactly double.

 

B. This implies that must be true

C.This also means that if we want to examine output per worker we could set x = 1/L and we would get

D. None of the above is true

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