Question

Does the production of flowers experience the effects of the law of diminishing returnsLOADING...​? The effects of the law of diminishing returns A. are experienced when the fourth worker is hired. B. are experienced when the second worker is hired. C. are experienced when the third worker is hired. D. are never experienced. E. are experienced when the fifth worker is hired.

Answer 1

B. After the 5th worker, diminishing returns sets in, as the MP declines. As extra workers produce less, the MC increases.