Edith is the owner and manager of a small coffee shop that employs three workers who use the shop’s one coffee machine to make and serve coffee to paying customers. Business has begun to pick up; lines are getting longer every day in her shop. On a busy morning, she sees her baristas scrambling to take orders, get cups, fill coffee from the coffee machine, add cream and sugar, and serve customers in a timely manner. She figures if she hires three more baristas she’ll be able to sell twice as much coffee.Adding more and more workers does not constantly increase production because of _______SELECT THE CORRECT ANSWER different productivity levels between various laborers.diminishing marginal costs.diminishing marginal product of labor.substitutes in production.

The diminishing marginal product of labor theory states that as more of a variable production factor is increased there will initially be an increase in production.

However as more of the variable factor is added increase in production reduces until increase in variable factor results in decrease in production.

In the given scenario where Edith employs 3 baristas, an increase to 6 may yield lower productivity per unit of employee added