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The Problem with Allocating Income According to Productivity Is That

question 103

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The problem with allocating income according to productivity is that some people have difficulty earning income.


Definitions:

Total Product

The total output produced by a firm over a specific period as a result of input.

Marginal Products

The extra output generated from the inclusion of an additional unit of a particular input, while maintaining all other inputs at their current levels.

Total Product

The aggregate production level of a business within a certain period.

Marginal Products

The incremental output generated when one unit of a certain input is added, with all other conditions being held steady.

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