From introductory economics to theoretical papers, the law of diminishing returns is a part of every economist's tool kit. But the evolution of this law in the history of economic analysis reveals more complexity than is perhaps generally understood. Even among those most responsible for its evolution, the law has been loosely defined, and many so-called "proofs" of the law have been weak and incomplete. Moreover, those who expounded the law and its economic implications rarely offered empirical evidence to support it. In fact, economists have offered alternative explanations for rising short-run marginal cost curves and other implications of the law of diminishing returns. This last point raises an interesting question: Have economists used the law of diminishing returns simply for convenience, or is the law fundamental to economic analysis?

The undergraduate economics curriculum in American universities continues to evolve, but within a framework of course titles and degree requirements remarkably similar to those of twenty-five years ago. This essay compares the current curriculum with that of a quarter century past, identifying areas of stability and change. It also examines the recent decline in economics majors, exploring its relationship to (and possible implications for) the present economics curriculum. Finally, miscellaneous other issues facing the American undergraduate economics curriculum are discussed.

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