According to the Law of Constant Returns to Scale, what is the rate of increase in output?
A. Output increases with a lesser speed than the increase in inputs
B. Output increases with a greater speed than the increase in inputs
C. Output Increases with the same speed as inputs
D. Output increases with a constant speed irrespective of the increase in inputs.
Answer:C
According to the Law of Constant Returns to Scale, what is the rate of increase in output?
A. Output increases with a lesser speed than the increase in inputs B. Output increases with a greater speed than the increase in inputs C. Output Increases with the same speed as inputs D. Output increases with a constant speed irrespective of the increase in inputs.