Asked by
brooke Ollis
on Nov 25, 2024Verified
According to the law of diminishing marginal returns,
A) output will fall and then rise as additional units of input are employed.
B) employing additional inputs will diminish total output.
C) the additional output generated by additional units of an input will diminish.
D) the additional inputs necessary to produce an additional unit of output will diminish.
Law Of Diminishing Marginal Returns
An economic principle stating that as investment in a particular area increases, the rate of profit from that investment, after a certain point, cannot continue to increase if other variables remain at a constant.
Total Output
The overall quantity of goods and services produced in an economy within a specific time frame.
Units Of Input
Quantitative measures of the resources used in the production of goods or services.
- Learn about the fundamental principle of reduced marginal gains.
Verified Answer
EW
Learning Objectives
- Learn about the fundamental principle of reduced marginal gains.