Diminishing Marginal Returns Occurs When

question 114

Multiple Choice

Diminishing marginal returns occurs when

• A) each additional unit of a variable factor adds less to total output than the previous unit, given constant quantities of other factors.
• B) each additional unit of a variable factor adds more to total output than the previous unit, given constant quantities of other factors.
• C) each additional unit of a variable factor diminishes total output, given constant quantities of other factors.
• D) each additional unit of a variable factor adds a constant amount to total output than the previous unit, given diminishing quantities of other factors.

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Definitions:

U.S. GDP

The total monetary value of all goods and services produced within the United States in a specific time period.

U.S. GNP

Gross National Product of the United States, a measure of economic performance that includes the value of all goods and services produced by the nation's residents, regardless of the production location.

Income Earned

Income earned refers to money received from labor, investments, or any other source as compensation for employment or investment.

Sant'Ivo alla Sapienza

A baroque church in Rome, designed by Francesco Borromini, celebrated for its innovative architecture and spiral lantern.