If a firm doubles all of its inputs and output more than doubles (e.g. goes from 100 to 225), then we can conclude there are decreasing returns to scale this is mathematically impossible there is increasing marginal product there are increasing returns to scale the firm is not maximizing profit
If a firm doubles all of its inputs and output more than doubles (e.g. goes from 100 to 225), then we can conclude there are decreasing returns to scale this is mathematically impossible there is increasing marginal product there are increasing returns to scale the firm is not maximizing profit
Chapter1: Making Economics Decisions
Section: Chapter Questions
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