Economics · Microeconomics
In its standard linearly homogeneous form (where α+β=1), the Cobb-Douglas production function exhibits which type of returns to scale?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Variable returns to scale
- 2Constant returns to scale✓
- 3Increasing returns to scale
- 4Diminishing returns to scale
Correct answer
Constant returns to scale
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