According to the principle of diminishing returns, if the number ...

[kodithompson]

According to the principle of diminishing returns, if the number of workers is increased beyond the point of diminishing returns, then the additional worker
 
  A) increases total output by more than the amount of previous workers.
  B) increases total output by the same amount as previous workers.
  C) decreases total output.
  D) increases total output by less than the amount of previous workers.

Question 2

What are open market operations? If the economy is experiencing a recession, what kind of open market operations should the Fed undertake?
 
  What will be an ideal response?

[Ksanderson1296]

Answer to Question 1

D

Answer to Question 2

When the Fed buys or sells government bonds from/to private banks in exchange of reserves held by those private banks at the Fed, it is referred to as an open market operation. When an economy is going through a recession, the Fed should buy government bonds from private banks to stimulate the economy.