Examlex
Which of the following is true of I:E ratio?
Substitute Resource
Alternative resources or inputs that can be used in place of another in the production process to produce a similar type of output.
Productivity
The efficiency with which input resources are converted into outputs, often measured as the ratio of output to input in a given time period.
Law of Diminishing Returns
The principle that as investment in a single factor of production increases, holding all others constant, the incremental gains in output will eventually decrease.
Law of Diminishing Marginal Utility
states that as a person consumes more of a good or service, the utility (satisfaction) gained from each additional unit decreases.
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