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QUESTION

Suppose that the number of points on an economics midterm (P) can be characterized by the following production function:

Suppose that the number of points on an economics midterm (P) can be characterized by the following production function: P = 5H – 4B; where H is the number of hours spent studying for the exam and B is the number of beers consumed the week before the exam. Does the law of diminishing returns apply to H?

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