Increasing returns to scale
This is the current revision of Increasing returns to scale as edited by CSGuy (talk | contribs) at 17:18, April 21, 2008. This URL is a permanent link to this version of this page.
Increasing returns to scale occur when the percent increase in productivity due to an increase in input is more than the percent that all the inputs were increased. For example, if a company increases its input by 50% and their output increases by 75%, it has increasing returns to scale.
This can be contrasted with decreasing returns to scale.