what is diminishing returns to a factor.. and increasing returns to a factor???
experts.. pls answer this... its so urgent..

Dear Student,

Diminishing returns to factor refers to the situation where Total Product (TP) increases at decreasing rate and  Marginal Product (MP) falls with the increasing use of variable factor along with fixed factors of production.
Increasing returns to factor  refers to the situation where Total Product (TP) increases at increasing rate and  Marginal Product (MP) also rises with the increasing use of variable factor  along with fixed factors of production.

All the best for your exam!!