What Does Law of Diminishing Marginal Returns Mean? A law of economics stating that, as the number of new employees increases, the marginal product of an additional employee will at some point be...
the characteristic of any production system in which increases in variable inputs result in increasing reduction of total output. An indicator of when to stop making additional inputs to the system,...
utility: means a level of satsfection.
marginal utility:an extra unit gain my consumer/consumation of addational unit.
deminishing marginal utility:when a person reachs his max level of satsfection...
Diminishing returns occur when a function satisfies Innada conditions or, to be more specific, when: The first derivative of the function is positive The second derivative of the function is...