As output decreases for a constant level of input, productivity also decreases.

Question

Quizplus · Accepted Answer

This statement accurately describes the law of diminishing marginal productivity, which states that additional units of input (such as labor or capital) will eventually lead to increasingly smaller increases in output, and in some cases, output may even decrease. This is a common phenomenon in production processes and highlights the importance of optimizing input usage to achieve maximum productivity.

As Output Decreases for a Constant Level of Input, Productivity