If a variable input is added to some fixed input, beyond some point the resulting extra output will decline. This statement describes:
A. the law of diminishing returns.
B. the law of diminishing marginal utility.
C. economies and diseconomies of scale.
D. X-inefficiency.
Answer: A
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A profit-maximizing firm operates in purely competitive product and resource markets, with the following resource and production schedules.WorkersTotal Production11002190327043405400645074908520The product price is $10 per unit and the cost per worker is $600. How many workers will the firm employ?
A. 4 B. 5 C. 6 D. 7
Explain how the relative magnitudes of changes in supply and demand can affect equilibrium price and quantity, if supply and demand change simultaneously
Please provide the best answer for the statement.
According to the assignment rule, which of the following policy mixes is appropriate for a country with high unemployment, a balance of payments deficit, and fixed exchange rates?
A. Expansionary fiscal policy and contractionary monetary policy B. Contractionary fiscal policy and contractionary monetary policy C. Contractionary fiscal policy and expansionary monetary policy D. Expansionary fiscal policy and expansionary monetary policy
The marginal physical product of labor is the
A. wage that must be paid to labor. B. change in output generated by a unit change in labor. C. total output divided by the number of labor employed. D. value of sales divided by additional labor used.