Question

a constant returns to scale production function means that if all inputs are increased by 75%, this should lead to output. o rising by 75%. o falling by less than 75%. o rising by more than 75%. o falling by more than 75%.

Explanation:

Constant returns to scale in economics means that if all inputs are increased by a certain percentage, output increases by the same percentage. Here, if all inputs are increased by 75%, with constant returns to scale, output should also rise by 75%.

Answer:

rising by 75%.