The law of diminishing returns to labor implies that
a. capital is more productive than labor
b. workers become less efficient once they have a secure job
c. output increases at a decreasing rate with the employment of new workers
d. employers pay workers a wage rate that is less than the workers' MRP
e. capital is less productive than labor
C
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Refer to the above table. Which country has the lowest increase in per capita real GDP between 2014 and 2015?
A) A B) B C) C D) D
That only large, well-established corporations have access to securities markets
A) explains why indirect finance is such an important source of external funds for businesses. B) can be explained by the problem of moral hazard. C) can be explained by government regulations that prohibit small firms from acquiring funds in securities markets. D) explains why newer and smaller corporations rely so heavily on the new issues market for funds.