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Think back to the last time you overindulged in a huge, delicious dessert. It’s likely that the first bite was divine, but perhaps ...
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Quamquam haec quidem praeposita recte et reiecta dicere licebit. Istam voluptatem, inquit, Epicurus ignorat? Cur deinde Metrodori liberos commendas? Verba tu fingas et ea dicas, quae non sentias? Sed non alienum est, quo facilius vis verbi intellegatur, rationem huius verbi faciendi Zenonis exponere. Duo Reges: constructio interrete. Dic in quovis conventu te omnia facere, ne doleas. Mihi enim erit isdem istis fortasse iam utendum. Hi autem ponunt illi quidem prima naturae, sed ea seiungunt a finibus et a summa bonorum;
Ab hoc autem quaedam non melius quam veteres, quaedam omnino relicta. Ut nemo dubitet, eorum omnia officia quo spectare, quid sequi, quid fugere debeant? Quae quo sunt excelsiores, eo dant clariora indicia naturae. Virtutibus igitur rectissime mihi videris et ad consuetudinem nostrae orationis vitia posuisse contraria. Cur deinde Metrodori liberos commendas? Progredientibus autem aetatibus sensim tardeve potius quasi nosmet ipsos cognoscimus. Tu autem, si tibi illa probabantur, cur non propriis verbis ea tenebas? Ut placet, inquit, etsi enim illud erat aptius, aequum cuique concedere.
Sedulo, inquam, faciam. Huius ego nunc auctoritatem sequens idem faciam. Etenim nec iustitia nec amicitia esse omnino poterunt, nisi ipsae per se expetuntur. Itaque haec cum illis est dissensio, cum Peripateticis nulla sane. Collatio igitur ista te nihil iuvat. Sed vos squalidius, illorum vides quam niteat oratio.
- Find the optimal peak.
Know that ‘more of a good thing is not always better’ ...
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Aut haec tibi, Torquate, sunt vituperanda aut patrocinium voluptatis repudiandum. Ergo adhuc, quantum equidem intellego, causa non videtur fuisse mutandi nominis. Ex eorum enim scriptis et institutis cum omnis doctrina liberalis, omnis historia. Quasi ego id curem, quid ille aiat aut neget. Duo Reges: constructio interrete. Quibus natura iure responderit non esse verum aliunde finem beate vivendi, a se principia rei gerendae peti;
Nos quidem Virtutes sic natae sumus, ut tibi serviremus, aliud negotii nihil habemus. Sin te auctoritas commovebat, nobisne omnibus et Platoni ipsi nescio quem illum anteponebas? Ita graviter et severe voluptatem secrevit a bono. De hominibus dici non necesse est. Quia dolori non voluptas contraria est, sed doloris privatio. Nec enim, dum metuit, iustus est, et certe, si metuere destiterit, non erit; Erit enim mecum, si tecum erit. Efficiens dici potest. Sin laboramus, quis est, qui alienae modum statuat industriae? Teneo, inquit, finem illi videri nihil dolere.
Bork Ait enim se, si uratur, Quam hoc suave! dicturum. Honesta oratio, Socratica, Platonis etiam. Ex ea difficultate illae fallaciloquae, ut ait Accius, malitiae natae sunt. Inde sermone vario sex illa a Dipylo stadia confecimus. Haec quo modo conveniant, non sane intellego. Semper enim ex eo, quod maximas partes continet latissimeque funditur, tota res appellatur. Quod cum dixissent, ille contra. Bork
The Law of Diminishing Returns is based on a number of assumptions that are not always relevant to real-world situations. These include:
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No change in technology
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A short period of impact
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Consistent, homogeneous units
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Measurement of product using tangible units.
Each of these assumptions might be challenged in the real world. Technology is always progressing, the units of input are likely going to vary (hiring one person compared to another person will have different impacts) and even the questions of measurement will be more complex beyond the narrow assessment of weight or financial value.
It relies on a static, predictable system which is rarely true or at least has clear limitations when applied to the complexity of reality.
Too Many Cooks.
A useful example to explain this model is to consider a small food truck that sells doughnuts. If that truck has one cook, they might be able to produce 20 doughnuts every hour. Adding one more cook might increase that output to 40 doughnuts every hour. However, adding a third cook might only allow them to produce 45 doughnuts every hour because of the limited space and resources in the truck, and adding a fourth cook might not add any returns at all.
d
The concept of Diminishing Returns has a rich and long history, being traced back to economists such as Adam Smith, Jacques Turgot, and Thomas Mathus. The earliest explicit references to this model were in relation to farming outputs and can be attributed to Thomas Malthus and David Ricardo.
My Notes
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