Answer to Question #68113 in Microeconomics for aina
a. Q = 50L + 6K + 8LK
Q = 50L + 6K + 8LK,
Q' = 50L*m + 6K*m + 8LK*m^2,
Q' = m*(50L + 6K + 8LK*m), so Q' > Q more than in m = 2 times.
Our new production has increased by more than m, so we have increasing returns to scale.
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