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Increasing return to scale in production means?

  1. More than twice as much of all inputs is required to double output 
  2. Less than twice as much of all inputs is required to double output 
  3. More than twice as much of only one input is required to double output 
  4. Isoquants must be linear
  5. None of the above 

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Question added by MPELWA HENRY , Founder And Managing Director , Green equator
Date Posted: 2021/09/14
Albadawi Saleh
by Albadawi Saleh , مدير مصنع , PT Oleochem & Soap Industri

IRS is obvious in our steady, efficient production run. We could manage a better output result even in yield and utility consumption. My examples are from actual experience in Palm oil refineries and saponification plants. If process control improved, scrap, rework and loss will be effected positively which will improve the material balance and yield accordingly. The same is for the energy usage like electricity, steam, LPG,... will be reduced due to increase in output and improved efficiency. The secret is in the process control and equipment effectiveness with top priority of care towards operators and other support staff

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