decreasing returns

USAGE SUMMARY

"decreasing returns" is correct and usable in written English. You can use it in contexts related to economics, production, or resource allocation where increasing input leads to smaller increases in output. For example: "The farm experienced decreasing returns as more fertilizer was applied." Alternative expressions include "diminishing returns" and "declining returns."

✓ Grammatically correct

Science

Formal & Business

News & Media

Human-verified examples from authoritative sources

Exact Expressions

60 human-written examples

Competitive advantage in many industries is moderated by decreasing returns to scale.

Harvard Business Review

Finally, we find strong evidence of decreasing returns to scale in CEF management.

Harvard University

Our methodology can be applied to any sector characterized by decreasing returns to scale technologies.

Energy Economics

The nature of the long accepted maxim of decreasing returns to scale in management hierarchies is demonstrated.

Journal of Economic Theory

There also appear to be decreasing returns to scale, implying that TTOs may need to be reconfigured into smaller units.

Research Policy

With Bitcoin it's the supply that's targeted, with steadily decreasing returns to mining and the number of bitcoins set to top out at 21 million around 2040.

Harvard Business Review

Another stream of literature builds on the neoclassical growth models pioneered by Solow (1956), where convergence is a result of decreasing returns in physical or human capital accumulation.

Nature

These examples show that our conditions enforce a form of "decreasing returns to larger states;" this yields fragmented industries in the SE limit.

Stanford University

As time progressed, the project experienced decreasing returns to scale, indicating that although overall inputs increased, production per unit of input decreased.

Applied Energy

For particular industries, however, it does not hold; in some cases increasing returns can be expected, and in others decreasing returns.

Encyclopedia Britannica

Decreasing returns from incremental innovation are understood to motivate a search for a new radical innovation to provide a platform for more incremental innovation.

Energy Procedia

Expert writing Tips

Best practice

When discussing investments or production, use "decreasing returns" to clearly indicate that additional input yields progressively smaller increases in output. This term is particularly useful in economic and business contexts to explain phenomena where initial gains diminish over time.

Common error

Avoid using "decreasing returns" when you actually mean "negative returns". "Decreasing returns" implies that returns are still positive but growing at a slower rate, while "negative returns" means you are losing money or resources.

Linguistic Context

The phrase "decreasing returns" functions as a noun phrase that describes an economic or business condition. It refers to a situation where the increase in output diminishes as more input is added. Ludwig AI confirms this usage through numerous examples across diverse fields.

Expression frequency: Very common

Frequent in

Science

52%

Formal & Business

21%

News & Media

14%

Less common in

Academia

6%

Encyclopedias

2%

Wiki

1%

Ludwig's WRAP-UP

The phrase "decreasing returns" is a widely used term, as validated by Ludwig AI, to describe scenarios where incremental increases in input result in progressively smaller gains in output. Predominantly used in science, formal business settings, and news media, it serves to explain and analyze economic and operational inefficiencies. Understanding "decreasing returns" is crucial for making informed decisions in resource allocation and investment strategies. While "decreasing returns" is grammatically correct, be careful not to confuse it with "negative returns", which indicates an actual loss. Alternatives like "diminishing returns" and "declining returns" offer similar meanings, enriching your vocabulary when discussing this concept.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

diminishing returns

Replaces "decreasing" with "diminishing", emphasizing the gradual reduction in benefits.

declining returns

Substitutes "decreasing" with "declining", highlighting the downward trend in returns.

reduced yield

Focuses on the outcome of decreased returns, specifically in terms of output or yield.

diminished gains

Emphasizes the reduced profits or advantages resulting from the decreasing returns.

falling profitability

Highlights the impact on profitability as returns decrease.

reduced efficiency

Focuses on the operational aspect, where decreasing returns lead to lower efficiency.

diseconomies of scale

Refers to the economic concept where increasing scale leads to decreasing efficiency and higher costs.

negative returns

Indicates that the returns are not just decreasing but have become negative.

lower output

Concentrates on the reduced quantity of production or output due to decreasing returns.

waning benefits

Emphasizes the fading or weakening advantages associated with the returns.

FAQs

How can I use "decreasing returns" in a sentence?

You can use "decreasing returns" to describe situations where increasing an input leads to smaller gains in output. For example, "The company experienced "decreasing returns" on its marketing spend after the initial campaign."

What's the difference between "decreasing returns" and "diminishing returns"?

The terms "decreasing returns" and "diminishing returns" are often used interchangeably in economics. They both describe the point where increasing inputs result in smaller increases in output.

What are some alternatives to saying "decreasing returns"?

Depending on the context, you could use alternatives like "declining returns", "reduced yield", or "diminished gains".

In what situations does the principle of "decreasing returns" apply?

The principle of "decreasing returns" can apply in various scenarios, such as agriculture (where adding more fertilizer eventually yields less additional crop), manufacturing (where adding more labor may not proportionally increase output), and even personal productivity (where working longer hours can lead to burnout and reduced efficiency).