1.

Fill in the blank with appropriate alternative given below:Land is subject to ___________ returns.Optionsincreasingconstantdiminishingnegative

Answer»

Land is subject to diminishing returns.

Explanation:

Land is a fixed factor of production. When more and more units of labour and capital are applied to land, the total output increase but only at a decreasing rate. Thus, we can say that land is subject to diminishing returns.



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