Scale Of Production and Laws of Returns Mcqs Test Preparation Online

1. Negative returns in the short run imply that:

2. The maximum point on TP curve is at quantity of labour where:

3. Economies of scale:

4. When a firm using a fixed amount of land and capital takes on more workers, it finds that marginal product (MP) of labour falls but the average product (AP) of labour rises. This can be explained by the factors that:

5. Which of the following is example of external economies of scale ?

6. Laws of return apply to firms working in:

7. Economies of scale are of two kinds:

8. During short period, diminishing returns may follow because:

9. In law of diminishing returns at least one factor:

10. When a firm using a fixed amount of land and capital takes on more workers, it finds that marginal product (MP) of labour falls but the average product (AP) of labour rises. This can be explained by the factors that: