When the firm's LRATC curve is downward sloping over its range of production, this implies that A. when all of the firm's inputs are increased proportionately, the firm's level of production will increase, but by a smaller factor than the O increase in the firm's inputs. B. the firm is experiencing increasing returns to scale over this range of production. C. when all of the firm's inputs are tripled, the firm's level of O production may or may not increase. D. the firm is experiencing decreasing returns to scale over this range of
When the firm's LRATC curve is downward sloping over its range of production, this implies that A. when all of the firm's inputs are increased proportionately, the firm's level of production will increase, but by a smaller factor than the O increase in the firm's inputs. B. the firm is experiencing increasing returns to scale over this range of production. C. when all of the firm's inputs are tripled, the firm's level of O production may or may not increase. D. the firm is experiencing decreasing returns to scale over this range of
Chapter11: The Firm: Production And Costs
Section: Chapter Questions
Problem 21P
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