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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. Collige omnia, quae soletis: Praesidium amicorum. Duo Reges: constructio interrete. Quod ea non occurrentia fingunt, vincunt Aristonem; Atqui, inquam, Cato, si istud optinueris, traducas me ad te totum licebit. Prodest, inquit, mihi eo esse animo. Sunt enim prima elementa naturae, quibus auctis vírtutis quasi germen efficitur. Claudii libidini, qui tum erat summo ne imperio, dederetur. Cum id quoque, ut cupiebat, audivisset, evelli iussit eam, qua erat transfixus, hastam. Eiuro, inquit adridens, iniquum, hac quidem de re; Isto modo ne improbos quidem, si essent boni viri.
Aperiendum est igitur, quid sit voluptas; Is ita vivebat, ut nulla tam exquisita posset inveniri voluptas, qua non abundaret. Teneo, inquit, finem illi videri nihil dolere. Praeclarae mortes sunt imperatoriae; Sed nunc, quod agimus; Bork Summum ením bonum exposuit vacuitatem doloris; A villa enim, credo, et: Si ibi te esse scissem, ad te ipse venissem.
Et quae per vim oblatum stuprum volontaria morte lueret inventa est et qui interficeret filiam, ne stupraretur. Ea possunt paria non esse. Haec quo modo conveniant, non sane intellego. In enumerandis autem corporis commodis si quis praetermissam a nobis voluptatem putabit, in aliud tempus ea quaestio differatur. Scio enim esse quosdam, qui quavis lingua philosophari possint; Verum tamen cum de rebus grandioribus dicas, ipsae res verba rapiunt;
- Find the optimal peak.
Know that ‘more of a good thing is not always better’ ...
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Non dolere, inquam, istud quam vim habeat postea videro; Praeterea sublata cognitione et scientia tollitur omnis ratio et vitae degendae et rerum gerendarum. Duo Reges: constructio interrete.
Virtutibus igitur rectissime mihi videris et ad consuetudinem nostrae orationis vitia posuisse contraria. Quae enim adhuc protulisti, popularia sunt, ego autem a te elegantiora desidero. Quodsi ipsam honestatem undique pertectam atque absolutam. Si mala non sunt, iacet omnis ratio Peripateticorum.
Quem Tiberina descensio festo illo die tanto gaudio affecit, quanto L. De ingenio eius in his disputationibus, non de moribus quaeritur. Numquam facies. Heri, inquam, ludis commissis ex urbe profectus veni ad vesperum. Ergo, si semel tristior effectus est, hilara vita amissa est? Omnia contraria, quos etiam insanos esse vultis. Sed potestne rerum maior esse dissensio?
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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