If workers are unable to specialize and become more productive as more labor is hired,the amount of total output produced ________ at a(n)________ rate.

Question

Quizplus · Accepted Answer

The law of diminishing returns states that as more of a variable input (such as labor) is added to a fixed input (such as capital), the marginal product of that variable input will eventually decrease. This means that workers will become less productive as more of them are hired without specialization, causing the amount of total output to increase at a decreasing rate. Therefore, the correct answer is C.

If Workers Are Unable to Specialize and Become More Productive