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Consider the following statements- If all the factors of production are...

This question belongs to Commerce Economics
Economics
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Consider the following statements-
If all the factors of production are paid according to their respective marginal products, the total product would be
1. exhausted under constant returns to scale.
2. more than exhausted under increasing returns to scale
3. less than exhausted under decreasing return to scale
Which of these statements is/are correct?

Answer & Solution
Correct Answer: Option A
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