ECS1501 – ASSESSMENT 9 – Q&A – S2 - 2023
Assessment 9
Started on Wednesday, 18 October 2023,
State Finished
Completed on Wednesday, 18 October 2023,
Time taken
Marks 15.00/15.00
Grade 100.00 out of 100.00
Question 1
I confirm
that this assessment will be my own individual work; that I will not communicate with
anyone else in any way during the completion of this assessment; that I will not
cheat in any way in completing and submitting this assessment.
I confirm.
I do not confirm.
Question 2
The law of diminishing returns applies only in cases where _____
- production cost decreases.
- production cost increases.
- fixed factors of production become increasingly utilised.
- there is at least one factor of production.
Feedback
The law of diminishing returns applies only in the case where fixed factors of
production become increasingly utilised.
1
, ECS1501 – ASSESSMENT 9 – Q&A – S2 - 2023
The law of diminishing returns, also known as the law of diminishing marginal
productivity, states that as more units of a variable input are added to a fixed input,
the marginal productivity of the variable input will eventually decrease.
In order for the law of diminishing returns to apply, there must be fixed factors of
production. Fixed factors of production are inputs that cannot be easily or quickly
changed in quantity during a particular production period. These factors can include
physical resources like land or machinery, as well as factors like factory space or
specialised knowledge that cannot be easily expanded or altered in the short run.
As more units of a variable input, such as labour or raw materials, are employed with
a fixed input, there will be an initial increase in output due to better specialisation and
more efficient utilisation of the fixed factors. However, at some point, adding more
units of the variable input will lead to diminishing marginal returns. This means that
each additional unit of the variable input will contribute less to the total output
compared to the previous units.
Question 3
Fill in the missing values for a, b and c.
Units of labour Total product Average product Marginal product
N (TP) (AP) (MP)
1 a. 8 8
2 18 b. 10
3 8
4 c. 7 4
Feedback
The first thing to remember when confronted by a table like this is that you do not
have to complete all the blank columns or cells of the table. It is an unnecessary
waste of time. The values for only three cells are required so concentrate on what is
being asked.
a. The total product of the first unit of labour.
2
Assessment 9
Started on Wednesday, 18 October 2023,
State Finished
Completed on Wednesday, 18 October 2023,
Time taken
Marks 15.00/15.00
Grade 100.00 out of 100.00
Question 1
I confirm
that this assessment will be my own individual work; that I will not communicate with
anyone else in any way during the completion of this assessment; that I will not
cheat in any way in completing and submitting this assessment.
I confirm.
I do not confirm.
Question 2
The law of diminishing returns applies only in cases where _____
- production cost decreases.
- production cost increases.
- fixed factors of production become increasingly utilised.
- there is at least one factor of production.
Feedback
The law of diminishing returns applies only in the case where fixed factors of
production become increasingly utilised.
1
, ECS1501 – ASSESSMENT 9 – Q&A – S2 - 2023
The law of diminishing returns, also known as the law of diminishing marginal
productivity, states that as more units of a variable input are added to a fixed input,
the marginal productivity of the variable input will eventually decrease.
In order for the law of diminishing returns to apply, there must be fixed factors of
production. Fixed factors of production are inputs that cannot be easily or quickly
changed in quantity during a particular production period. These factors can include
physical resources like land or machinery, as well as factors like factory space or
specialised knowledge that cannot be easily expanded or altered in the short run.
As more units of a variable input, such as labour or raw materials, are employed with
a fixed input, there will be an initial increase in output due to better specialisation and
more efficient utilisation of the fixed factors. However, at some point, adding more
units of the variable input will lead to diminishing marginal returns. This means that
each additional unit of the variable input will contribute less to the total output
compared to the previous units.
Question 3
Fill in the missing values for a, b and c.
Units of labour Total product Average product Marginal product
N (TP) (AP) (MP)
1 a. 8 8
2 18 b. 10
3 8
4 c. 7 4
Feedback
The first thing to remember when confronted by a table like this is that you do not
have to complete all the blank columns or cells of the table. It is an unnecessary
waste of time. The values for only three cells are required so concentrate on what is
being asked.
a. The total product of the first unit of labour.
2
