Question:

Is this statement true/false?explain.?

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"Accondring to the law of diminishing returns,when more variable factors are added successively to a fixed factor,the output of the varaiable factors will eventually decline,other things being constant"

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  1. True

    Say you want to make cars at a factory. You need workers and machines. Say workers are a variable factor (you can hire or fire them), but the machines are fixed (you don't buy more). There is a point where if you hire more workers, output will eventually decline because the workers get in eachothers way. If the factory is filled with workers to the point where the workers can't move, you won't be able to make any cars.  

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