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Table 13 Swanky's output levels Labour Plant Size (knitting machines) W 1 5 1 1 14 2 1 1 16 19 3 14 19 23

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Table 13 Swanky's output levels Labour Plant Size (knitting machines) W 1 5 1 1 14 2 1 1 16 19 3 14 19 23 4 16 21 25 5 17 22 26 49) Refer to Table 13, which represents Swanky's production possibilities as the rm varies the quantities of knitting machines and workers per day. If Swanky increases the number of knitting machines from 2 to 3 and increases the number of workers employed from 2 to 3, the factory experiences A) economies of scale. B) constant marginal product. C) constant returns to scale. D) minimum efcient scale. E) diseconomies of scale

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