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Posted by on Thursday, September 13, 2012 at 11:35pm.

2. If a firm increases all of its inputs by 60 percent and its output increases by 90 percent, then you know that:
A) it is encountering diseconomies of scale.
B) it is encountering economies of scale.
C) it is encountering constant returns to scale.
D) the marginal products of all inputs are falling.

  • Economics - , Tuesday, April 21, 2015 at 10:26am

    B

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