Asked by
Jesus Santos
on Oct 26, 2024
Verified
Suppose there are diminishing returns to labor.If the _____ of labor hired by a firm increases,holding everything else constant,the _____ labor will _____.
A) price;demand for;increase
B) quantity;marginal product of;fall
C) quantity;marginal product of;rise
D) quantity;value of the marginal product of;rise
Diminishing Returns
A principle stating that adding an additional factor of production results in smaller increases in output.
Marginal Product
The additional output resulting from the use of one more unit of a factor of production.
Labor
Human effort used in the production of goods and services.
- Acquire knowledge on the theory of diminishing labor returns and its impact on production levels.
Verified Answer
VA
Learning Objectives
- Acquire knowledge on the theory of diminishing labor returns and its impact on production levels.