Which of the following is the best explanation of why the law of diminishing returns does not apply in the long run?
A) In the long run,firms can increase the availability of space and equipment to keep up with the increase in variable inputs.
B) The MPP does not change in the long run.
C) In the long run,firms have enough time to find the most qualified workers.
Correct Answer:
Verified
Q1: Which of the following are factors of
Q2: The change in total output associated with
Q4: In the short run,the law of diminishing
Q5: Which of the following is a factor
Q6: A production function shows the
A)Minimum amount of
Q7: Labor productivity will increase in response to
A)Lower
Q8: The short-run production function shows how output
Q9: Which of the following statements is not
Q10: Technical efficiency is achieved when a firm
Q11: Ceteris paribus,the law of diminishing returns states
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