Returns to scale is a ______ concept because ______.
A) Short-run; it's related to the law of diminishing marginal returns
B) Short-run; it deals with varying the level of one input while holding other inputs constant
C) Long-run; a firm can change its output level only in the long run
D) Long-run; it refers to changes in all of the firm's inputs
Correct Answer:
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Q50: For the Cobb-Douglas production function F(L,K)= ALaKb,a
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