If your firm's production function has constant returns to scale,and if you double all your inputs,then your firm's productivity will
A)not change.
B)increase but not double.
C)double.
D)more than double.

Question

Quizplus · Accepted Answer

With constant returns to scale, doubling all inputs results in doubling output, so productivity (output per unit of input) remains unchanged.

If Your Firm's Production Function Has Constant Returns to Scale,and