[aprssig] Economics 101 or APRS 'Theory of Diminishing Returns'

[aa3jy at winlink.org]

The law of variable proportion...
Samuelson defined the law of variable proportion as "An increase in some inputs relative to other fixed inputs will, in a given state of technology, cause output to increase, but after a point the extra output resulting from the same additions of extra inputs will become less and less."

Three stages of the law
Stage I - In this stage total product increases at an increasing rate and the average product of labour also increased. In the beginning of this marginal product also increases but after a point it starts to decline.
Average product continues to increase till MP > AP. The first stage ends up where AP = MP and AP is maximum. This stage is called stage of Increasing returns.

Stage II - In this stage, TP continues to increase but at a diminishing rate. This stage goes to the point when total product reaches the maximum and marginal product becomes zero. In this stage AP goes on deminishing. This stage is known as stage of diminishing returns.

Stage III - In this stage, TP starts to decline and marginal product becomes negative. This stage is called the stage of negative returns.
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My point being.. as the APRS community grows there is trend/request to 'downsize' our Path..in accordance to recent local bulletins to do such.
Therfore in theory are we looking at a future of zero hop path....?

Clay AA3JY
(via Winlink)