4. Select the production function with increasing returns to scale: A. q = (L+ 1)K B. q = (VI + VR)² 2 C. q = L3 D. q = VLK +L E. None of them has increasing returns to scale

Principles of Economics 2e
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ISBN:9781947172364
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Chapter7: Production, Costs, And Industry Structure
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Problem 27RQ: What is the difference between economies of scale, constant returns to scale, and diseconomies of...
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 Select the production function with decreasing returns to scale: 

4. Select the production function with increasing returns to scale:
A. q = (L+1)K
B. q = (VI + VK)
2
C. q = L3
D. q = VLK + L
E. None of them has increasing returns to scale
Transcribed Image Text:4. Select the production function with increasing returns to scale: A. q = (L+1)K B. q = (VI + VK) 2 C. q = L3 D. q = VLK + L E. None of them has increasing returns to scale
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