Asked by satajah fields on Sep 23, 2024
When a firm is experiencing decreasing marginal costs,it implies
A) marginal productivity is decreasing
B) workers are getting more unproductive
C) a constant marginal productivity
D) increasing marginal productivity
Marginal Costs
The increase or decrease in the total cost that results from producing one more or one less unit of a good or service.
Marginal Productivity
The additional output that results from using one more unit of a specific factor of production, holding all other factors constant.
- Grasp the concept of diminishing returns in productivity and its consequences for output levels.
Learning Objectives
- Grasp the concept of diminishing returns in productivity and its consequences for output levels.