As production of food increases, marginal benefit from food

Question

Quizplus · Accepted Answer

As production of food increases, the marginal benefit from consuming an additional unit of food decreases. This is because as we consume more food, the additional satisfaction we get from each additional unit of food decreases. Meanwhile, marginal cost increases – as more resources (e.g. labor, land, fertilizer) go into producing each additional unit of food, the cost of producing that unit increases. Therefore, the answer is C: decreases and marginal cost increases.

As Production of Food Increases, Marginal Benefit from Food