If a Firm Is Experiencing Diminishing Marginal Returns

question 114

Multiple Choice

If a firm is experiencing diminishing marginal returns,

• A)total output decreases as all resources are increased
• B)total output decreases as all resources are decreased
• C)total output decreases as one variable resource is increased, other things constant
• D)additional increments of output diminish as one variable resource is increased, other things constant
• E)additional increments of output diminish as all variable resources are increased

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Definitions:

Purposeful Direction

A strategic approach intended to guide actions toward desired outcomes or objectives.

Behavior-specific Cognitions

Thoughts and beliefs about specific behaviors that influence one's readiness to take action.

Interpersonal Influences

Interpersonal influences involve the impact that individuals have on each other's attitudes, beliefs, and behaviors, often through social interaction, persuasion, and group dynamics.

Perceived Self-efficacy

An individual's belief in their own ability to succeed in specific situations or accomplish a task.