The law of increasing additional costs is due to

Question

Quizplus · Accepted Answer

The law of increasing additional costs is a fundamental economic principle which explains that as the production of a good or service increases, the additional cost of producing an additional unit of that good or service also increases. This is due to the fact that resources are not perfectly adaptable for alternative uses, meaning that producing more of one good requires sacrificing the production of another good, which becomes increasingly costly as society produces more. Therefore, choice D, the fact that resources are not perfectly adaptable for alternative uses, is the best answer.

The Law of Increasing Additional Costs Is Due to