1. the law of diminishing marginal returns Flashcards
1
Q
what are diminishing marginal returns
A
where the marginal product starts to decline, marginal product is the extra units of product is made by hiring an extra worker
2
Q
what are the factors of production
A
land, labour, capital, enterprise
3
Q
what is the difference between short run and long run
A
in the short run, at least one factor of production is fixed, in the long run, all factors of production is variable
4
Q
A
