Economics 9708 · AS & A Level · Factors of production

Factors of production — practice question

Which statement describes a case where an increase in the input of factor X, with every other factor held constant, leads to no change in a firm’s output?

  • AThere are diminishing returns to factor X.
  • BReturns to scale are constant.
  • CThere are diseconomies of scale.
  • DThe marginal product of X is zero.

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