Law of Diminishing Returns
Subject: Law | Topics:

The law of diminishing returns states that in all productive processes, adding additional of one issue of production, while holding all others stable, will at several point yield lower incremental per-unit proceeds. The law of diminishing returns does not mean that adding more of a issue will diminish the whole production, a situation known as negative returns, however in fact this is frequent. For example, the use of fertilizer improves harvest production on farms and in grounds; but at several point, adding increasingly extra compost improves the yield by less per unit of compost, and too much quantities can even decrease the yield.

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