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I somewhat understand why marginal returns decrease more so than I understand why marginal costs increases. If it costs you 5 dollars to make 1 unit of something, why would it cost you more to make the 2nd unit? I tried looking up concrete examples and the closest thing I could find was something about oil production costing more the further you drill down. But I have a hard time making a generalizable rule from this one example. It makes it seem like the law of increasing marginal cost is something specific to oil production. I can’t think of how specifically something could cost more if it’s using the same amount of material. Surely if it costs 5 dollars worth of material to make 1 blanket, it will cost 5 more dollars to make a 2nd blanket?

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