if a very few resources are currently commited to education then an increase in resources used...

if a very few resources are currently commited to education then an increase in resources used can bring () to education

Solutions

Expert Solution

If a very few resources are currently commited to education then an increase in resources used can bring relatively large gains to education.

The above pattern of using resources is based on the law of diminishing returns. According to this law, when there are additional increment of resources for a certain purpose, the marginal benefit out of those additional increments will decline. For example, take the production possibility frontier to explain the effect of additional resources on education, where education is shown on the horizontal axis. The production possibility frontier depicts that when additional resources are added to education, moving from left to right along the X-axis, the initial gains are fairly large, but it decreases gradually.

In order to find out the gains from committing additional marginal resources to education, we need to find out how much is already spent on education. If very few resources are currently commited to education, then an increase in resources used can bring relatively large gains. Similarly, if a large amount of resources is already committed to education, then committing additional resources will bring relatively smaller gains.

Rahul Sunny answered 1 year ago

Next > < Previous

Related Solutions

b) Currently, there are very few signs of increased unemployment due to automation. Unem- ployment is...

b) Currently, there are very few signs of increased unemployment due to automation. Unem- ployment is low and labour force participation rates are high. However, if automation does eventually lead to a rise in unemployment, would you expect this to lead to an increase in cyclical, frictional or structural unemployment? Briefly, explain your reasoning.

The perfectly competitive model is not very useful for managers because very few markets are perfectly...

The perfectly competitive model is not very useful for managers because very few markets are perfectly competitive.” Do you agree with this statement? Explain. Regardless of whether you agree, what lessons can managers learn by studying perfectly competitive markets?

What do you know about scarce resources? Can you name a few scarce resources and how...

What do you know about scarce resources? Can you name a few scarce resources and how it is diminishing

The textbook implies that those born into homes with few resources are likely to stay in...

The textbook implies that those born into homes with few resources are likely to stay in the lower quintiles of income. Do you believe the reasons for this are rooted in a lack of opportunity imposed by society or a lack of successful models in their environment? Explain. Make sure you give me 200 words thanks

The relationship between human resources and healthcare is very complex. If we only see human resources...

The relationship between human resources and healthcare is very complex. If we only see human resources as doing the hiring and firing for an organization, we are selling their impact short. How does human resource build and maintain a quality healthcare organization? Your response must be at least one complete paragraph.

Finacial resources used by bison transport

Explain in a few sentences the consequences of an increase in the U.S. exchange rate (an...

Explain in a few sentences the consequences of an increase in the U.S. exchange rate (an appreciation of the $ versus other currencies) make U.S. exports and GDP.

Why are there very few helium (and deuterium) nuclei a hundredth of a second after the...

Why are there very few helium (and deuterium) nuclei a hundredth of a second after the big bang? Select all the statements that are both correct and relevant. At this point in time there are so few protons in the universe that we can't create deuterium or helium. The temperature is so high that any created would quickly be destroyed in a collision Any created would quickly decay away Any created would be broken apart by high energy photons Lots...

In a few sentences ( or a very short paragraph) discuss the following. Do so in...

In a few sentences ( or a very short paragraph) discuss the following. Do so in your own words—that is, do not merely repeat what I have provided for you on the handouts. Either write very legibly or type your answers. 2.Give a few reasons why one studies literary theory. As opposed to what? That is, to what would one be limited if they did not study it?

Resources must be used in the production process to produce goods and services. Resources are also...

Resources must be used in the production process to produce goods and services. Resources are also called factors of production. Resources are traded in the market where the equilibrium quantity and price of the resources are determined. Most markets are competitive, that is, there are many buyers and sellers. Resource demand or factor demand is a derived demand. Where is this demand derived from? Give an example to illustrate this relationship.

Subjects