A firm whose production function displays increasing returns to ...

[123654777]

A firm whose production function displays increasing returns to scale will have a total cost curve that is
 a. a straight line through the origin.
  b. a curve with a positive and continually decreasing slope.
  c. a curve with a positive and continually increasing slope.
  d. a curve with a negative and continually decreasing slope.

Question 2

The expansion path for a constant-returns-to-scale production function
 a. is a straight line through the origin with a slope greater than 1 if w > v.
  b. is a straight line through the origin with a slope greater than 1 if w < v.
  c. is a straight line through the origin, though its slope cannot be determined by w and v alone.
  d. has a positive slope but is not necessarily a straight line.

[sultana.d]

Answer to Question 1

b

Answer to Question 2

c

[123654777]

Thanks for the timely response, appreciate it

[cassie_ragen]

Excellent