The observation that beyond some point, successive increases in a variable factor of production added to a fixed factor of production lead to smaller and smaller increases in output is
A. the law of diminishing marginal product.
B. the law of averages.
C. the law of opportunity costs.
D. the law of marginal utility.
Answer: A
Economics
You might also like to view...
In perfect competition, each individual firm faces ________ demand curve
A) an inelastic B) an upward sloping C) a perfectly elastic D) a downward sloping
Economics
In order to maximize profits, a firm should produce at the output level for which
a. average cost is minimized. b. marginal revenue equals marginal cost. c. marginal cost is minimized. d. price minus average cost is as large as possible.
Economics