Answer to Question #51251 in Macroeconomics for bob

Question

State True, False or Uncertain. If an aggregate production function exhibits diminishing marginal product and constant returns to scale then a doubling of the labour force leads to a doubling of aggregate output.

Answer 1

If an aggregate production function exhibits diminishing marginal product and constant returns to scale then a doubling of the labour force leads to a doubling of aggregate output, there are constant returns to scale and increase in labor force will increase the output proportionally, if there is enough of other resources.
So, the statement is True.