1. Often, as more people are added to a single job, the marginal return decreases (Brook's law). This is due to several reasons. With more people, communication and synchronization become increasingly difficult. Also, it takes some time for new employees to become as productive as older ones. Finally, if the work is highly divisible, it might just take them longer because they might get in each other's way. Therefore, the first advice would be to check the personnel and try to remove any employee who is superfluous.
2. Diminishing returns is the decrease on marginal output as one production factor increases and all the other ones stay the same. So another solution would be to try to increase all the other factors that have not been increased yet.
<u>Answer:</u>
By “long-term challenges to our fiscal health”, President George W Bush means the things that will slow government spending.
<u>Explanation:</u>
- In his 2006 budget message, President George W Bush speaks about restraining the government expenditure in order to meet the near term and the long term fiscal challenges facing the country.
- In order to reduce the fiscal deficit, President Bush had planned to implement his plan of cutting down the expenditure on numerous policies and schemes run by the government.
South Africa's total unemployment rate is at 25% but this number is a lot higher in the younger population - as high as 63%!
The contributory factors are:
-lack of proper education and lack of highly skilled workers means that there is a surplus of unskilled workers
-influences of apartheid (this contributes to the low level of education among others)
- slow economic growth
