基礎ECON-PRDC-003

As a construction firm in Hong Kong hires more workers while keeping capital fixed, the marginal product of labour eventually falls. This illustrates:

A. Economies of scale
B. Diminishing marginal returns✓ 答案
C. Decreasing returns to scale
D. The law of demand

解說

Diminishing marginal returns occurs when adding more of a variable input (labour) to fixed inputs (capital) eventually yields smaller increases in output.

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