If workers are unable to specialize and become more productive as more labor is hired,the amount of total output produced

Question

Quizplus · Accepted Answer

The law of diminishing returns states that as more units of a variable input, like labor, are added to a fixed amount of other inputs, the marginal product of that variable input will eventually decrease. This means that the increase in total output produced will slow down and eventually reach a point where it increases at a decreasing rate. Therefore, option C is the correct answer.

If Workers Are Unable to Specialize and Become More Productive