Law of Diminishing Marginal Returns (Old Version): Econ Concepts in 60 Seconds Microeconomics

Mr. Clifford from ACDC Econ explains the law of diminishing marginal return in a concise manner. He discusses the relationship between inputs and outputs, using a lawn mowing business as an example. The video covers how to calculate marginal product and illustrates how specialization can initially increase productivity. However, as more workers are added to fixed resources, the additional output begins to decline, demonstrating the law of diminishing marginal returns.

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