If Labor Is the Only Variable Input,an Increase in the Quantity

question 84

Multiple Choice

If labor is the only variable input,an increase in the quantity of labor:

• A)does not have any effect on the quantity of output.
• B)causes the output to increase initially at a diminishing rate and then at an increasing rate.
• C)causes the output to increase at a constant rate till the last worker is hired.
• D)causes the output to increase initially at an increasing rate and then at a decreasing rate.
• E)causes the output to decrease at a constant rate till the last laborer is hired.

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Definitions:

Human Limitations

Refers to the natural constraints on what individuals can physically and mentally achieve.

Best Alternative

The most desirable option available to a person or entity when their first choice is not feasible.

Financial Institution

A company engaged in the business of dealing with monetary transactions, such as banks, credit unions, and investment firms.

Market Share

The portion of a market controlled by a particular company, product, or brand, often expressed as a percentage of total sales within that market.