Asked by kamlesh prajapati on Jul 29, 2024
Verified
Diminishing marginal product exists when the production function becomes flatter as inputs increase.
Diminishing Marginal Product
Diminishing marginal product occurs when adding an additional factor of production results in a lower increase in output, embodying the principle of decreasing returns.
Production Function
A mathematical representation of the relationship between inputs (like labor, capital) used in production and the output of goods and services that results from those inputs.
- Gain an understanding of the diminishing marginal product principle and its impact on total production.
Verified Answer
Learning Objectives
- Gain an understanding of the diminishing marginal product principle and its impact on total production.
Related questions
The Shape of the Marginal Cost Curve Tells a Producer ...
The Average-Total-Cost Curve Is Unaffected by Diminishing Marginal Product
Diminishing Marginal Product Exists When the Total Cost Curve Becomes ...
Diminishing Marginal Productivity Implies Decreasing Total Product
As Bubba's Bubble Gum Company Adds Workers While Using the ...