Introduction to Economics 1 Deneme Sınavı Sorusu #729270

Which one of the followings defines the decrease in the marginal product of a variable input?


Marginal product

Increasing marginal returns

Marginal product of labor

Law of diminishing returns

Total product of labor


Yanıt Açıklaması:

Law of Diminishing Returns Decrease in the marginal product of a variable input. When additional units of a variable input—typically labor—are added to fixed input—typically
capital— the marginal product of variable input firstly increases and then finally decreases. The correct answer is D.

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