Question 4' A firm's long-run total cost is TC(Q)=402-10Q²+Q³. Over what range of output does the production function exhibit increasing returns to scale, and over what range does it exhibit decreasing returns to scale?

Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter7: Proudction Costs
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Question 4¹
A firm's long-run total cost is TC(Q) = 400-10Q²+Q³. Over what
range of output does the production function exhibit increasing returns to scale, and over what
range does it exhibit decreasing returns to scale?
Transcribed Image Text:Question 4¹ A firm's long-run total cost is TC(Q) = 400-10Q²+Q³. Over what range of output does the production function exhibit increasing returns to scale, and over what range does it exhibit decreasing returns to scale?
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