The free- disposal assumption implies that:
A)the MP of an input cannot be negative.
B)garbage disposal is costless.
C)excess use on an input reduces output unless more of others are used.
D)total product always increases as quantity of a variable input.

Question

Quizplus · Accepted Answer

The free-disposal assumption implies that the marginal product (MP) of an input cannot be negative, meaning that adding more of an input will not decrease output.

The Free- Disposal Assumption Implies That