Which of the Following Statements Best Summarizes the Law of Diminishing

question 92

Multiple Choice

Which of the following statements best summarizes the law of diminishing marginal returns?

• A) In the short run, as more labor is hired, output diminishes.
• B) In the short run, as more labor is hired, output increases at a diminishing rate.
• C) In the short run, the amount of labor a firm will hire diminishes as output increases.
• D) As more labor is hired, the length of time that defines the short run diminishes.

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Definitions:

Form Control

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Caption

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In spreadsheet applications, a reference or connection between two cells whereby a change in one cell affects the content of another.