--%>

Diminishing returns imply economic inefficiency

This is not true that the law of diminishing returns which it: (i) Consists applications in numerous areas outside economics. (ii) Is encountered in many ways in economics. (iii) Implies that continually increasing production ultimately entails increasing opportunity costs. (iv) Produces production possibilities curves which are concave from the origin. (v) Points out that diminishing returns imply the economic inefficiency.

Choose the right answer from the above options.

   Related Questions in Managerial Economics

  • Q : What are the main features of

    What are the main features of managerial economics?

  • Q : Hiring additional workers exceeds the

    One purpose that firms hire labor at the point where w is equal to P x MPPL is: (1) if w < P x MPPL, the cost (w) of hiring additional workers exceeds the gains (P x MPPL) of hiring them, therefore they would hire fewer workers. (2) when w > P x

  • Q : Occupational Licensing The capability

    The capability of otherwise qualified workers to involve in particular careers or enter specific professions is probably most inhibited from: (1) occupational licensing. (2) wage discrimination. (3) segregation in our school system. (4) union labor contracts. (5) scre

  • Q : Substitution Consequence on Labor Supply

    The substitution consequence on labor supply decision of an individual is more powerful than the income effect while: (1) higher wage rates result within increased hours worked. (2) cuts in wage rates yield discouraged worker effects. (3) the supply c

  • Q : Labor and Diminishing Returns All else

    All else equal, employees will eventually be less productive: (w) the greater is the amount of physical capital. (x) when they receive more certain training and less general knowledge. (y) if the wage rate is increased. (z) as more and more people are put on an assemb

  • Q : Wealth definition of economics Who is

    Who is the father of economics and what is wealth definition of economics?

  • Q : PROFIT THEORIES OF ECONOMICS I HAVE A

    I HAVE A PROBLEM ANSWERING A QUESTION:'REVIEW THE ECONOMIC THEORIES OF ECONOMICS'

  • Q : Illustrates the important leading

    Illustrates the important leading indices?

  • Q : Fundamental goal of maximizing in firms

    Economists suppose that firms hire labor to further a fundamental goal of maximizing: (1) economic profit. (2) workers’ welfare. (3) economy-wide employment. (4) managerial compensation. (5) the total value of output.

  • Q : Explain characteristics of managerial

    Explain the chief characteristics of managerial or business economics.