One reason that variable factors of production tend to show diminishing returns in the short run is that:
A) capital equipment is often idle in the short run.
B) there is only so much that can be produced using additional variable inputs when some factors of production are fixed.
C) large firms cannot effectively manage their resources.
D) the cost of employing additional resources increases as firms employ more of those resources.
Correct Answer:
Verified
Q41: Marginal cost is calculated as:
A)total revenue minus
Q42: The accompanying table describes the relationship between
Q43: Which of the following is the most
Q44: The accompanying table describes the relationship between
Q45: A variable factor of production:
A)is fixed in
Q47: Refer to the accompanying table. The law
Q48: The long run is best defined as:
A)one
Q49: A fixed factor of production:
A)is fixed in
Q50: Which of the following is the most
Q51: Refer to the accompanying table. To increase
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