Post Utme Lasu 2025 Economics Question 6

Practice objective / multiple choice question 6 from the 2025 Post Utme Lasu Economics examination.

Post Utme Lasu 2025 Economics Objective / Multiple Choice
Question 6 POST_UTME_LASU • 2025 • ECONOMICS • objective

The concept of returns to scale in production theory refers to the change in the output of a firm as all its inputs are increased proportionally. Which of the following best describes the relationship between the output and the inputs in the case of increa\sing returns to scale?

Answer Options

A. Output increases at a decrea\sing rate compared to the inputs.
Correct Answer B. Output increases at an increa\sing rate compared to the inputs.
C. Output increases at a cons\tant rate compared to the inputs.
D. Output decreases at an increa\sing rate compared to the inputs.
Correct Answer
B
Correct Option:
Output increases at an increa\sing rate compared to the inputs.

About This Question

This is Post Utme Lasu 2025 Economics Question 6. It is one of the objective questions from the 2025 Post Utme Lasu Economics examination.

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