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"Diminishing Marginal Product" Means That

Question 162

Multiple Choice

"Diminishing marginal product" means that:


A) each additional unit of an input will decrease output.
B) each additional unit of an input will increase output but by a smaller amount than the previous unit of the input.
C) each additional unit of an input will increase output but by a larger amount than the previous unit of the input.
D) the firm is maximizing profit.

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