Question

Refer to Table 13-17. Which firm has constant returns to scale over the entire range of output?
Table 13-17
Consider the following table of long-run total cost for four different firms:

Quantity	1	2	3	4	5	6	7
Firm 1	$180	$350	$510	$660	$800	$930	$1,050
Firm 2	$120	$250	$390	$540	$700	$870	$1,050
Firm 3	$150	$300	$450	$600	$750	$900	$1,050
Firm 4	$210	$340	$490	$660	$850	$1,060	$1,290

  

Firm 1

  

Firm 2

   

Firm 3

   

Firm 4

Answer 1