--%>

Constant return to scale with an upward-sloping supply curve

Can there be constant returns to scale in an industry along with an upward-sloping supply curve?  Describe.

Constant returns to scale imply that proportional raise in all inputs yield the similar proportional increase in output. Proportional raise in inputs can induce higher prices if the supply curves for these inputs are upward sloping.  Thus, constant returns to scale does not for eternity imply long-run horizontal supply curves.

   Related Questions in Biology

  • Q : What is Product Development Product

    Product Development: A new service or product for the market is process developing. This kind of development is seem as the preliminary step in service or product development and includes various steps which should be completed before the product can

  • Q : Organizational Conflict -

    In an organizational situation, conflict may manifest itself in a number of different modes. Such conflicts may be within the organization itself (intra-organizational) or between various organizations (inter-organizational) intra-organizational conflicts may be

  • Q : Advantages of using a methodology

    Advantages of using a methodology: It can help to provide direction to the project as a whole It can enable a saving in project timescales It can help to improve the quality of the project deliverables.

  • Q : Commercial law coursework assignment

    Commercial law coursework assignment help Answer each question separately (i.e. not as one continuous essay) You are reminded that you will be assessed on your ability to organize and present information and arguments lo

  • Q : What is Pneumonia Pneumonia : Pneumonia

    Pneumonia: Pneumonia is an inflammation of the lungs caused by infection by Streptococcus pneumoniae. Its major symptoms are: • Cough which produces greenish or yellow sputum. • Very high fever, whi

  • Q : What important functions are performed

    What two important functions are carried out by the price system? (1.) It is an automatic mechanism for distributing goods & services.(2.) It finds out the allocation of resources among producers and the final mix of outputs.

  • Q : Classification of sensory receptors In

    In accordance with the stimuli they accumulate, how the sensory receptors are classified?

  • Q : Function of iris and of pupil Write

    Write down the function of iris and of pupil?

  • Q : Gas exchange process in reptiles How

    How the gas exchange process is different in reptiles as compared to the amphibians.

  • Q : Define the term muscles Define the term

    Define the term muscles?