Respuesta :
False, The production function's shape is consistent with the law of increasing marginal returns.
What is marginal return?
An economic theory known as the law of diminishing marginal returns states that once an optimal level of capacity is reached, adding more factors of production will actually only lead to smaller increases in output. For instance, a factory hires workers to produce its goods, and eventually the business performs at its best. If you increase the number of employees beyond this point, operations will become less efficient even if all other production factors remain constant. The idea of declining marginal utility is connected to the law of diminishing returns. Economies of scale can be used to contrast it.
Instead, the production function's shape merely illustrates the law of diminishing marginal returns. Measurement of a change in output for each additional unit of labour input is done using the slope of a production function.
To learn more about marginal return
https://brainly.com/question/29422912
#SPJ4
