# If a factor exhibits diminishing marginal product, hiring additional units of the factor will ? with Answer - Economics Mcqs | TestPrep

> Solved MCQ: If a factor exhibits diminishing marginal product, hiring additional units of the factor will ? Correct Answer: D. generate ever smaller amounts of output. Verified answer explanation for FPSC, PPSC, MDCAT, NTS, and CSS competitive exam preparation.

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# If a factor exhibits diminishing marginal product, hiring additional units of the factor will ?

Direct Answer & Quick Reference

The correct option is **D. generate ever smaller amounts of output**.

A. cause a reduction is output

B. have no effect on output

C. increase the marginal product of the factor

D. generate ever smaller amounts of output **(Correct Answer)**

✨ Explain with AI

Verified Key: D. generate ever smaller amounts of output
Solved by 5,379+ students

Verified against official examination board answer keys and standard curriculum textbooks.

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