👉 Testament math, also known as the law of diminishing returns, is a principle that describes how adding more of one factor (like labor or capital) to a fixed set of other factors (such as land or machinery) will eventually lead to smaller increases in output. Initially, adding more inputs can boost productivity significantly, but as more inputs are added, the marginal gains decrease. For example, hiring more workers on a fixed factory floor might increase production at first, but beyond a certain point, additional workers may cause congestion and inefficiency, reducing overall output per worker. This concept is crucial in economics for understanding production efficiency and resource allocation.
