xxxxxxix) Inverted U
Not understanding the "inverted U" concept, ie more is not necessarily better; it can make things worse. It is all about limits. It is linked to the s-curve (see earlier). It has 4 stages, ie
- stage 1 (relation is linear);
- stage 2 (relation levels off, ie area of diminishing marginal returns);
- stage 3 (extra resources have no effect on the outcome);
- stage 4 (more resources are counterproductive).
In graphical terms it looks like
The same strategy that works well at first stops working after a certain point. Some examples
i) happiness v. income, ie in USA happiness improves with initially increasing income but peaks at US $75,000 and then decreases
ii) arousal v. performance, ie right amount of arousal maximises performance but too much arousal can reduce performance
iii) alcohol v. health, ie a small amount of alcohol is good for you, while too much is bad for your health
