

MCQOPTIONS
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1. |
According to the Law of Diminishing Returns, in a production function when more and more units of the variable factor are used, holding the quantities of a fixed factor constant, a point is reached beyond which |
A. | the marginal revenue will diminish |
B. | the average revenue will diminish |
C. | the marginal product will diminish |
D. | the marginal product will increase |
Answer» D. the marginal product will increase | |