Marginal cost begins to increase when
A)total cost falls.
B)total product falls.
C)diminishing returns begin.
D)diminishing returns end.
E)variable inputs are no longer used.

Question

Quizplus · Accepted Answer

Marginal cost begins to increase when diminishing returns begin because it means that each additional unit of output requires more and more additional inputs, which increases the cost per unit produced.

Marginal Cost Begins to Increase When