Use the Following to Answer Question

question 283

Multiple Choice

Use the following to answer question
Figure: Crop Yield and Fertilizer
-(Figure: Crop Yield and Fertilizer) The graph shows a hypothetical relationship between tons of fertilizer used and crop yields.Which of the following is NOT correct?

• A) The slope of the curve between one and two tons of fertilizer is approximately 2.
• B) The relationship between fertilizer usage and yield is nonlinear.
• C) Because the relationship is nonlinear,it is difficult to create an economic model describing the relationship between the two variables.
• D) Using more than three tons of fertilizer has minimal effect on yield.

---

Definitions:

APS

Acute Psychological Stress, referring to the significant mental stress an individual experiences in response to a perceived threatening situation.

Disposable Income

Financial avenues open to households for spending and saving, post income tax deductions.

MPS

Marginal Propensity to Save, which is the fraction of additional income that a household saves rather than spends on consumption.

Saving

The act of setting aside a portion of current income for future use, typically to achieve financial goals or provide a safety net.