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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. Quo invento omnis ab eo quasi capite de summo bono et malo disputatio ducitur. Et quidem, inquit, vehementer errat; Ergo id est convenienter naturae vivere, a natura discedere. Teneo, inquit, finem illi videri nihil dolere.
Nec lapathi suavitatem acupenseri Galloni Laelius anteponebat, sed suavitatem ipsam neglegebat; Duo Reges: constructio interrete. At quicum ioca seria, ut dicitur, quicum arcana, quicum occulta omnia? Non est enim vitium in oratione solum, sed etiam in moribus. Nam neque virtute retinetur ille in vita, nec iis, qui sine virtute sunt, mors est oppetenda. Quam tu ponis in verbis, ego positam in re putabam.
Minime vero probatur huic disciplinae, de qua loquor, aut iustitiam aut amicitiam propter utilitates adscisci aut probari. Nullus est igitur cuiusquam dies natalis. Verum hoc idem saepe faciamus. Confecta res esset. Ut necesse sit omnium rerum, quae natura vigeant, similem esse finem, non eundem. Ne amores quidem sanctos a sapiente alienos esse arbitrantur. Rationis enim perfectio est virtus; Tu enim ista lenius, hic Stoicorum more nos vexat.
- Find the optimal peak.
Know that ‘more of a good thing is not always better’ ...
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Quippe: habes enim a rhetoribus; Idem etiam dolorem saepe perpetiuntur, ne, si id non faciant, incidant in maiorem. Ergo opifex plus sibi proponet ad formarum quam civis excellens ad factorum pulchritudinem? Duo Reges: constructio interrete. Bork Sed non alienum est, quo facilius vis verbi intellegatur, rationem huius verbi faciendi Zenonis exponere.
Parvi enim primo ortu sic iacent, tamquam omnino sine animo sint. Et quae per vim oblatum stuprum volontaria morte lueret inventa est et qui interficeret filiam, ne stupraretur. Quae ista amicitia est? Dulce amarum, leve asperum, prope longe, stare movere, quadratum rotundum. Re mihi non aeque satisfacit, et quidem locis pluribus. Bork At ego quem huic anteponam non audeo dicere; Cur ipse Pythagoras et Aegyptum lustravit et Persarum magos adiit?
Quarum cum una sit, qua mores conformari putantur, differo eam partem, quae quasi stirps ets huius quaestionis. Cur fortior sit, si illud, quod tute concedis, asperum et vix ferendum putabit? Tecum optime, deinde etiam cum mediocri amico. Si longus, levis.
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.
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