What is meant by "INCREASING AT A DECREASING / DIMINISHING RATE" In economics this has repeated many times ????
Letâ??s say year in 1 salary is 1 lac and in year 2 it increases to 2 lacs I.e growth of 100 % and in year 3, 5 lacs - growth 150% here salary is increasing at increasing rate. Next year salary say increases to say 7 lacs. Salary has increased from 5 to lacs but it has grown only at 40% from 150% previous year so it has increased at a decreasing rate