The Law of Diminishing Marginal Returns

question 139

Multiple Choice

The law of diminishing marginal returns

• A)sets in because not all workers are equally productive.
• B)applies only in the short run.
• C)holds even when there are no fixed factors.
• D)ultimately explains why production displays diseconomies of scale.

---

Definitions:

Binge-Drinking

The consumption of an excessive amount of alcohol in a short period of time, typically defined as five or more drinks for men, and four or more for women, in about two hours.

Negative Consequence

An unpleasant outcome resulting from an action, which is often used as a form of punishment or deterrent.

College Students

Individuals enrolled in higher education institutions, often pursuing degrees or certificates.

Caffeine

A stimulant drug found in coffee, tea, cola, and chocolate that affects the central nervous system.