According to the law of diminishing returns, if a factory keeps adding more workers while keeping the amount of machinery constant, eventually: Total output will start to decrease. Output per worker will start to increase. The additional output generated by adding another worker will start to decrease. The factory will become more efficient.
According to the law of diminishing returns, if a factory keeps adding more workers while keeping the amount of machinery constant, eventually: Total output will start to decrease. Output per worker will start to increase. The additional output generated by adding another worker will start to decrease. The factory will become more efficient.
Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter7: Proudction Costs
Section: Chapter Questions
Problem 9SQP
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Transcribed Image Text:According to the law of diminishing returns, if a factory keeps adding more workers
while keeping the amount of machinery constant, eventually:
0000
Total output will start to decrease.
Output per worker will start to increase.
The additional output generated by adding another worker will start to decrease.
The factory will become more efficient.
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