Question

__________ explains why adding more workers will eventually decrease or have no effect on output. Select the correct answer below: The Law of Diminishing Marginal Profit The Law of Diminishing Marginal Product The Law of Nonproductivity The Law of Marginal Production

Answer 1

Answer:

The Law of Diminishing Marginal Product or returns

Explanation:

In simple words, the law of diminishing marginal returns or productivity states that after a certain point of time adding one more unit of labor factor will actually decrease the overall production marginally and not increase it.

As per this law, there is a certain level after which the factor of productions should not be added or subtracted.