-Refer to Figure 7.6.Which graph represents decreasing returns to scale?
A) A
B) B
C) C
D) Both graph A and graph C

Name: -Refer to Figure 7.6.Which graph represents decreasing returns to scale? A) A B) B C) C D) Both graph A and graph C
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Question

-Refer to Figure 7.6.Which graph represents decreasing returns to scale?
A) A 
B) B 
C) C 
D) Both graph A and graph C

Quizplus · Accepted Answer

Graph C represents decreasing returns to scale because as inputs are increased, the output increases at a decreasing rate, which is characteristic of decreasing returns to scale.