Question: The following production function F(L, K) - -, exhibits: a. Increasing MPL, increasing MPK and increasing returns to scale b. decreasing MPL, decreasing MPK and

The following production function F(L, K) - -, exhibits: a. Increasing MPL, increasing MPK and increasing returns to scale b. decreasing MPL, decreasing MPK and decreasing returns to scale c. constant MPL, constant MPK and constant returns to scale d. None of the above If we have constant returns to scale and we increase the quantity of labor by 10% but keep the amount of capital constant, output will: a. decrease by 10% b. increase by more than 10% C. increase by less than 10% d. increase by 10%

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