Decreasing Marginal Returns Occur in the Short Run as More

question 125

Multiple Choice

Decreasing marginal returns occur in the short run as more labor is hired to work in a fixed sized plant because

• A) less efficient and less productive workers are hired.
• B) adding more workers exhausts the possible gains from specialization.
• C) the entrepreneur does not know how to manage more workers.
• D) each worker will produce more than the worker previously hired.
• E) the plant becomes less specialized.

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Definitions:

Chromatid

A chromatid is one of two identical halves of a replicated chromosome, which are joined at their centromeres, before being separated during cell division.

Early Prophase

The initial phase of mitosis or meiosis when chromosomes begin to condense and the nuclear envelope starts to break down.

Metaphase

Stage of mitosis at which all chromosomes are aligned midway between spindle poles.

Telophase

The final phase of cell division where chromosomes arrive at opposite poles, nuclei reform, and the cell begins to split.