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Multiplied the it the income: during the first period its net profit has increased almost
Four times, during the second period - in 2,7 times, in the third - in 1,4 times. From
Gain combined value in 1,600 pounds for the first period at its order
There were 962 pounds of 10 shillings, or more than pound from everyone two, from
Gain for the second period, equal 8000 pounds, it has received 2212 pounds 15
Shillings, or more pound from everyone four; from a gain for the third
The period, equal 40000, it has received only 1474 pounds of 10 shillings, or one
Pound from everyone twenty seven! When its gross revenue has grown five times for
The third period, it has actually received less money, than at the fivefold
Income increase for the second period. It is quite obvious that here we have
Business with quickly decreasing rate of return on the made effort that in
The psychological plan is negative motivation. Certainly, for
That this statement was proved, we should analyse
Function of productivity of our businessman at different stages
Developments of its business. Logically probably that at a given time to it costs
Much smaller efforts reception of 30 pounds, than two pounds in its beginning
Activity. From here could follow that the same effort in
Last period of time when he is compelled to refuse 26 pounds from
Everyone received by it 27, all the same brings to it hardly more net profit,
Than during the first period of time when from each two pounds to it remained
Pound. Then it will be already impossible to speak about the decreasing rate of return, and,
Possibly, it will be necessary to speak only about disproportionately increasing norm
Profits. However in the case under consideration at first sight it seems that
Our businessman is kept from the further efforts by the relative
Insignificance of compensation.
In addition to this psychological barrier exists even more
Serious circumstance. The example resulted above is a little probable today,
When to our businessman would not allow to fly up so quickly.
The tax system would put barriers on its way to complicate it
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