The Law of Diminishing Returns:

States that beyond some level of a variable input, the Average Product of that variable input begins to increase steadily.

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Assumes that there is a technological improvement over time.

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States that beyond some level of a variable input, the Marginal Product of that Variable input begins to decrease steadily.

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Informs a Firm whether or not to use a factor input.

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Solution

The correct option is A States that beyond some level of a variable input, the Marginal Product of that Variable input begins to decrease steadily.
The law of diminishing returns states that beyond some level of a variable input, the marginal product of that variable begins to decrease steadily.

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Similar questions

Q. Diminishing marginal returns for the first four units of a variable input is exhibited by which of these total product sequences:

Q. According to _________, "As we increase the quantity of any one input which is combined with a fixed quantity of the other inputs, the marginal physical productivity of the variable input must eventually decline".

Q. The marginal product of a variable input is best described as ________.

The diminishing marginal product of a variable factor implies that the amount of variable factor required per unit of output decreases. State true or false.

Q. Suppose the first four units of a variable input generate corresponding total outputs of

200, 350, 450, 500

. The marginal product of the third unit of input is ______.

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The Law of Diminishing Returns:

The correct option is A States that beyond some level of a variable input, the Marginal Product of that Variable input begins to decrease steadily.The law of diminishing returns states that beyond some level of a variable input, the marginal product of that variable begins to decrease steadily.

The correct option is A States that beyond some level of a variable input, the Marginal Product of that Variable input begins to decrease steadily.
The law of diminishing returns states that beyond some level of a variable input, the marginal product of that variable begins to decrease steadily.