The law of diminishing marginal returns is first evident in the following table
A) when the first worker begins
B) with each of the workers
C) when the third unit of labor is added
D) with the last unit of labor input
E) when the fourth unit of labor is added

Question

The law of diminishing marginal returns is first evident in the following table 
A) when the first worker begins 
B) with each of the workers 
C) when the third unit of labor is added 
D) with the last unit of labor input 
E) when the fourth unit of labor is added

Quizplus · Accepted Answer

The law of diminishing marginal returns occurs when adding additional units of a variable input (in this case, labor) causes the marginal output to decrease. In the provided table, the marginal product of labor decreases from 35 to 30 when the third worker is added, indicating the onset of diminishing marginal returns. Therefore, choice C is the best answer.

The Law of Diminishing Marginal Returns Is First Evident in the Following