Question: Use a cell reference or a single formula where appropriate in order to receive full credit. Do not copy and paste values or type values,




Use a cell reference or a single formula where appropriate in order to receive full credit. Do not copy and paste values or type values, as you will not receive full credit for your answers. The Green Revolution was based in part on extensive experimentation. The following data ilustrates the relationship between nitrogen fertilizer (in pounds of nitrogen) and the output of a particular type of wheat (in bushels). Each observation is based on one acre of land and all other relevant inputs to production (such as water, labor, and capital) are held constant. The fertilizer levels are 20, 40, 60, 80, 100, 120, 140, and 160, and the associated output levels are 47, 86, 107, 131, 136, 148, 149, and 142. q 20 47 40 86 60 107 80 131 100 136 120 148 140 149 160 142 a) Use Excel to estimate the short-run production function showing the relationship between fertilizer input and output. (Hint: Use the Trendline option to regress output on fertilizer input. Try a linear function and try a quadratic function and determine which function fits the data better.)function fits the data better. b) Does fertilizer exhibit the law of diminishing marginal returns? Fertilizer the law of diminishing marginal returns. What is the largest amount of fertilizer that should ever be used, even if it is free? The largest amount of fertilizer is equal to
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