If labour is the only variable resource and its marginal physical product falls as more workers are hired:
A) the law of diminishing marginal returns is at work.
B) marginal cost is rising.
C) average cost may still be declining.
D) average physical product may still be rising.
Correct Answer:
Verified
Q1: The total product curve may initially show
Q3: When both average and total product are
Q4: Costs incurred only when production occurs are
Q5: The law of diminishing marginal returns is
Q6: Which of the following is irrelevant for
Q7: Diminishing marginal returns are most compatible with:
A)economies
Q8: If average variable costs fall as output
Q9: In economic theory the costs of a
Q10: The average total costs of the firm
Q11: The short run as the term is
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