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In the long run, if a firm increases its inputs by $10\%$, and its outputs increase by $5\%$, which of the following is true?

A

The firm's per-units costs will decrease.

B

The firm is experiencing diseconomies of scale.

C

The firm's total costs will decrease.

D

The firm is experiencing diminishing marginal returns.

E

The firm is experiencing increasing returns to scale.

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