David's firm experiences diminishing marginal product for all ranges of inputs. The total cost curve associated with David's firm
A)gets flatter as output increases.
B)gets steeper as output increases.
C)is constant for all ranges of output.
D)is unrelated to the production function.

Question

Quizplus · Accepted Answer

Diminishing marginal product means that as more and more inputs are added, the marginal product of each additional input decreases. This leads to an increasing marginal cost and a steeper total cost curve as output increases.

David's Firm Experiences Diminishing Marginal Product for All Ranges of Inputs