# If a change in all inputs leads to a proportional change in the output, it is a case of a....

## Question:

If a change in all inputs leads to a proportional change in the output, it is a case of

a. Increasing returns to scale

b. Constant returns to scale

c. Diminishing returns to scale

d. Variable returns to scale

## Factors of production:

Inputs refers to the things or the commodities that the firm uses in its production process so as to produce the given commodity or the service. These inputs are also called the factors of production and are categorized as the fixed and the variable inputs. The former does not vary in the short run as output changes while the latter varies with the level of output.

## Answer and Explanation: 1

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View this answerThe correct answer choice is b. Constant returns to scale.

Constant returns to scale is defined as a scenario faced by the firm where a given...

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