Multiple Choice
When a production function exhibits a diminishing, but positive, marginal product of labor,
A) output increases, but at an increasing rate, as more workers are employed.
B) output increases, but at a decreasing rate, as more workers are employed.
C) output declines as more workers are employed.
D) the effects on marginal product are ambiguous.
Correct Answer:

Verified
Correct Answer:
Verified
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