Question

    A linear production function graphically represents

    which type of return in production theory?
    A Constant returns Correct Answer Incorrect Answer
    B Increasing returns Correct Answer Incorrect Answer
    C Decreasing returns Correct Answer Incorrect Answer
    D Diminishing returns Correct Answer Incorrect Answer
    E Negative returns Correct Answer Incorrect Answer

    Solution

    A linear production function implies a constant marginal product for each input unit, where output increases proportionally with input.

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