--%>

What is Constant Returns to scale

What is Constant Returns to scale?

E

Expert

Verified

Firms cannot keep increasing returns to scale indefinitely after the first stage; therefore, firm enters a stage while total output tends to increase at a rate that is equal to the rate of increase in inputs. Such stage comes in to operation while the economies of large scale production are neutralized through the diseconomies of huge scale operation.

   Related Questions in Managerial Economics

  • Q : Explain about perfectly price elastic

    I have a problem on perfectly price elastic supply curve that is given below: A perfectly price elastic supply curve is: (w) vertical. (x) horizontal. (y) positively sloped. (z) negatively sloped.

    Q : Features of Marginal costing Write down

    Write down the features of Marginal costing?

  • Q : Define naive method and its techniques

    Define naive method and its techniques briefly.

  • Q : Defined the simple way for production

    Defined the simple way for production function?

  • Q : Explain the term relatively inelastic

    Explain the term relatively inelastic demand.

  • Q : Equilibrium of the consumers of the two

    identify two goods consumed by the majority of the neighborhood communities. Qn. establish the equilibrium of the consumers of the two goods

  • Q : Internal factors in governing prices

    What are the internal factors in governing prices?

  • Q : Explain the target pricing briefly

    Explain the target pricing briefly.

  • Q : Charging the competitive price in the

    An apparent monopoly might charge the competitive price in the long run when: (w) exit is costly. (x) entry and exit are relatively costless. (y) this is not a natural monopoly. (z) this is not regulated.

    Q : Labor and Revenue in Purely Competitive

    Short run total revenue of the purely competitive firm would be at a maximum along with: (1) 600 workers. (2) 700 workers. (3) 800 workers. (4) 900 workers (5) 1000 workers.

    Discover Q & A

    Leading Solution Library
    Avail More Than 1433650 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads
    No hassle, Instant Access
    Start Discovering

    18,76,764

    1941909
    Asked

    3,689

    Active Tutors

    1433650

    Questions
    Answered

    Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

    Submit Assignment

    ©TutorsGlobe All rights reserved 2022-2023.