As the quantity of one input rises while the amounts of other inputs remain constant, output tends to rise by smaller and smaller increments. This pattern is referred to as the:

Question

Quizplus · Accepted Answer

The law of diminishing returns states that as the quantity of one input increases, while other inputs are held constant, the additional output generated by the additional input will eventually decrease. This principle is fundamental in economics, particularly in the context of production.

As the Quantity of One Input Rises While the Amounts