The Law of Decreasing Returns States That as a Firm

question 223

Multiple Choice

The law of decreasing returns states that as a firm uses more of a

• A) fixed input, with a given quantity of variable inputs, the marginal product of the fixed input eventually decreases.
• B) variable input, total output will increase indefinitely.
• C) variable input, with a given quantity of fixed inputs, the marginal product of the variable input eventually decreases.
• D) variable input, output will begin to fall immediately.
• E) fixed input and a variable input, the marginal product of the fixed input and the marginal product of the variable input both decrease.

---

Definitions:

Selection

The process of choosing the most suitable candidates from a pool of applicants for jobs within an organization.

Hardware Configurations

The arrangement and setup of physical components and devices within a computer or network system.

Intel

An American multinational corporation and technology company known for developing and manufacturing semiconductors and microprocessors.

Honda

A multinational conglomerate known primarily for its production of automobiles, motorcycles, and power equipment.