Which of the Following Is the Best Explanation of Why

question 59

Multiple Choice

Which of the following is the best explanation of why the law of diminishing returns does not apply in the long run?

• A)In the long run,firms can increase the availability of space and equipment to keep up with the increase in variable inputs.
• B)The MPP does not change in the long run.
• C)In the long run,firms have enough time to find the most qualified workers.

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Definitions:

Promotion

The act of raising someone to a higher position or rank, often accompanied by increased responsibilities and benefits.

ERG Theory

Clayton Alderfer's motivation theory that divides human needs into three categories: Existence, Relatedness, and Growth.

Relatedness Needs

The human need to form and maintain strong, stable interpersonal relationships.

Social Needs

Human requirements for companionship, belonging, and acceptance within society or specific social groups.