Chapter 54, Problem 5MCQ

To determine

The reason for limits imposed by diminishing returns that have been alleviated

Explanation of Solution

Due to investment in capital and technology, the limits imposed by diminishing returns have been alleviated because it allows traders to buy, sell, and transfer stocks for the financial growth.

Therefore, the correct option is a.

Economics Concept Introduction

Introduction:

When a company acquire physical or tangible assets for the accomplishment of its long-term goals, then it is a capital investment.