Having activities with decreasing marginal returns is the only way that the proportionality assumption can be violated.

Name: Having activities with decreasing marginal returns is the only way that the proportionality assumption can be violated.
Brand: Quizplus
Rating: 4.9 (32 reviews)

Question

Quizplus · Accepted Answer

The proportionality assumption can be violated not only through activities with decreasing marginal returns but also through increasing marginal returns, non-constant returns, or any situation where outputs do not change proportionally with inputs.

Having Activities with Decreasing Marginal Returns Is the Only Way