The Principle of Marginal Productivity

question 119

Multiple Choice

The principle of marginal productivity

• A)is the same as the principle of marginal cost.
• B)helps explain the demand for each input.
• C)differs from industry to industry.
• D)allows the world's food to be grown in a flower pot.

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Definitions:

Cocktail Party Effect

The ability to focus on one auditory input while filtering out a vast range of other stimuli, as when listening to one conversation in a noisy room.

Inattentional Blindness

A psychological lack of attention that is not associated with vision defects or deficits, causing individuals to fail to perceive an unexpected stimulus that is in plain sight.

Dual Processing

The principle that our mind operates on two levels simultaneously, conscious and unconscious thinking.

Selective Attention

The cognitive process by which a person focuses on one particular item or task while ignoring other stimuli.