4. Classify the following production functions as to their returns to scale. Do they exhibit constant, increasing, or decreasing returns to scale? Show your proof.

Principles of Economics 2e
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ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter7: Production, Costs, And Industry Structure
Section: Chapter Questions
Problem 27RQ: What is the difference between economies of scale, constant returns to scale, and diseconomies of...
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4. Classify the following production functions as to their returns to scale. Do they
exhibit constant, increasing, or decreasing returns to scale? Show your proof.
Transcribed Image Text:4. Classify the following production functions as to their returns to scale. Do they exhibit constant, increasing, or decreasing returns to scale? Show your proof.
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