The law of diminishing returns suggests that consumer demand for a specific product will increase once a consumer has already purchased one unit of that product.

Question

Quizplus · Accepted Answer

The law of diminishing returns states that as more units of a product are consumed, the marginal utility or satisfaction decreases, resulting in a decrease in consumer demand for that product. Therefore, the statement is false.

The Law of Diminishing Returns Suggests That Consumer Demand for a Specific