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Translations for „returns to scale“ in the English » German Dictionary (Go to German » English)

returns to scale N ACCOUNT

Specialized Vocabulary

Monolingual examples (not verified by PONS Editors)

English
If the coefficient of output elasticity is greater than 1, then production is experiencing increasing returns to scale.
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It is important to note that these increasing returns to scale are a major contributing factor to the growth of cities.
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This last law is the least intuitive and is based on the argument that the non-industrial sector has diminishing returns to scale.
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Firms experiencing increasing returns to scale are also experiencing decreasing average total costs.
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Constant returns to scale is the in-between case.
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This occurs due to centralization of capital and in industries where there are increasing returns to scale.
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The law of diminishing marginal returns applies regardless of whether the production function exhibits increasing, decreasing or constant returns to scale.
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Adding more inputs will not increase the income earned per unit of input (unless there are increasing returns to scale).
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If the production function contains only one input, then the output elasticity is also an indicator of the degree of returns to scale.
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Under the assumption of constant returns to scale, it is equal to the proportion of national income received in profits.
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