Recall Application 4, "Fertilizer and Crop Yields" to answer the following questions:
-As bags of nitrogen applied went from 0 to 1 to 2 to 3 to 4, crop yield went from 85 to 120 to 135 to 144 to 147 bushels per acre. The results show that as more bags of nitrogen was added, holding all other inputs constant, output:
A) rose but at an increasing rate.
B) rose but at a declining rate.
C) stayed the same.
D) fell.

Question

Quizplus · Accepted Answer

The crop yield increased with each additional bag of nitrogen, but the amount of increase decreased with each additional bag, indicating a diminishing marginal return. This is consistent with the law of diminishing marginal returns in economics, which states that as more units of one input (in this case, nitrogen) are added while holding other inputs constant, the additional output produced will eventually decrease.

Recall Application 4, "Fertilizer and Crop Yields" to Answer the Following