16) The law of diminishing marginal retums states A) that at some point, adding more of a fixed input to a given amount of variable inputs will cause the marginal product of the variable input to decline. B) that average total costs of production initially fall and at a later point starts to rise at a decreasing rate as output increases. C) that at some point, adding more of a variable input to a given amount of a fixed input will cause the marginal product of the variable input to decline. D) that in the presence of a fixed factor, at some point the average product of labor starts to fall as more and more variable inputs are added.

16) The law of diminishing marginal retums states A) that at some point, adding more of a fixed input to a given amount of variable inputs will cause the marginal product of the variable input to decline. B) that average total costs of production initially fall and at a later point starts to rise at a decreasing rate as output increases. C) that at some point, adding more of a variable input to a given amount of a fixed input will cause the marginal product of the variable input to decline. D) that in the presence of a fixed factor, at some point the average product of labor starts to fall as more and more variable inputs are added.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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