The source of diminishing returns is
A. that when each worker is equally capable, each worker adds to production exactly the same as the previous one.
B. the fact that anytime you increase labor you get more output.
C. the efficiency that results from workers specializing in one aspect of production.
D. the inefficiency that results from the fact that capital is fixed.
Answer: D
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Refer to Table 11.1. What is the value of net exports or the trade balance?
A) $300. B) -$300. C) $1,700. D) -$1,700.
Refer to Figure 5.5. Which diagram shows the income-consumption curve resulting from a decrease in income?
A. A
B. B
C. C
D. D
If the price of textbooks increases by one percent and the quantity demanded falls by one-half percent, then demand for textbooks is:
A. negative. B. inelastic. C. unit elastic. D. elastic.
When the number of buyers in a market changes, the market demand curve shifts even if individual demand curves do not shift.
Answer the following statement true (T) or false (F)