If Production Displays Increasing Marginal Returns, Then

question 65

Multiple Choice

If production displays increasing marginal returns, then

• A)total product rises by a constant amount throughout.
• B)each new worker hired adds more to output than previous hires.
• C)the firm must be adding new capital to keep boosting productivity.
• D)total product reaches a maximum sooner than if production displayed decreasing returns.

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Definitions:

Inches

A unit of measurement in the Imperial system equal to 1/12th of a foot.

Gold Rope

Generally refers to a type of jewelry chain made of gold, characterized by links that form a spiral or twisted pattern.

Centimeters

A measurement of distance in the metric system that is equivalent to 0.01 meters.

Inches

A unit of measurement in the imperial and United States customary systems, equivalent to 1/12 of a foot.