Diminishing returns means that
A) hiring more labor results in less real GDP.
B) each additional unit of labor produces successively more real GDP.
C) hiring more labor must lower the real wage rate.
D) each additional unit of labor produces successively less real GDP.
E) each extra unit of real GDP produced requires less labor.
Correct Answer:
Verified
Q142: Q143: When the labor market is in equilibrium Q144: If the government raises income taxes, then Q145: Which of the following creates job rationing? Q146: Efficiency wages are Q148: To maximize profits, firms hire labor as Q149: The level of real GDP the economy Q150: If the economy is fully employed, which Q151: The increase in the average unemployment rate Q152: Diminishing returns along a production function means
A)Job
A)set below the equilibrium level
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