one more piece of production will reduce output
It significantly helps in gathering more profit in any given profit-base organization.
the criticisma of the law of diminishing marginal utility
why law of diminishing returns is considered a short-run phenomenon?
it is caused by the disorder in the economy of a nation which later causes the GDP of the particular nation to decrease.there is a link between this phenonenom and the law of diminishing return.
As a matter of fact, law of diminishing marginal rate of substitution conforms to the law of diminishing marginal utility. According to law of diminishing marginal utility, as a consumer increases the consumption of a good, its marginal utility goes on diminishing. On the contrary, if the consumption of a good decreases, its marginal utility goes on increasing.
It significantly helps in gathering more profit in any given profit-base organization.
the criticisma of the law of diminishing marginal utility
The law of diminishing returns implies that adding one factor of production does not always mean an increase in output. In agriculture, adding fertilizer may increase output, but if too much fertilizer is used, it may end up poisoning the plants.
why law of diminishing returns is considered a short-run phenomenon?
it is caused by the disorder in the economy of a nation which later causes the GDP of the particular nation to decrease.there is a link between this phenonenom and the law of diminishing return.
As a matter of fact, law of diminishing marginal rate of substitution conforms to the law of diminishing marginal utility. According to law of diminishing marginal utility, as a consumer increases the consumption of a good, its marginal utility goes on diminishing. On the contrary, if the consumption of a good decreases, its marginal utility goes on increasing.
explain the demerits of diminishing marginal utility
law of diminishing returns
Thomas Malthus
technical innovation
Thomas Malthus
Thomas Malthus