The law of diminishing marginal returns holds that the:
A) marginal product of any variable factor of production will eventually decline, assuming the quantities of other factors of production are given.
B) total product of any variable factor of production will eventually decline, all other things unchanged.
C) total product can only increase so long, because factors of production eventually become tired or wear out.
D) marginal product of any variable factor of production will at some point decline, because it will eventually become burdened with an excess and overwhelming abundance of other factors in the long run.
Correct Answer:
Verified
Q64: The concept of diminishing marginal returns and
Q65: The costs incurred by a firm in
Q66: The law of diminishing marginal returns indicates
Q67: When an additional unit of a variable
Q68: Fixed costs include:
A) top management salaries.
B) wage
Q70: The Case in Point on The Production
Q71: The costs associated with variable factors of
Q72: Diminishing marginal returns for the first four
Q73: Diminishing marginal returns for the first four
Q74: Variable costs include:
A) the cost of raw
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents