Table 18-7
-Refer to Table 18-7. The fact that the marginal product falls as the number of workers increases illustrates a property called
A)diminishing marginal product.
B)utility maximization.
C)supply and demand.
D)labor theory.

Question

Table 18-7 
-Refer to Table 18-7. The fact that the marginal product falls as the number of workers increases illustrates a property called
A)diminishing marginal product. 
B)utility maximization. 
C)supply and demand. 
D)labor theory.

Quizplus · Accepted Answer

The fact that the marginal product falls as the number of workers increases illustrates the property of diminishing marginal product, which means that as more units of a variable input (in this case, workers) are added to a fixed input (in this case, land and capital), the marginal product of the variable input eventually decreases.

Table 18-7 -Refer to Table 18-7. the Fact That the Marginal Product