Impacts of key parameters on pesticide use, given pesticides are used|<5, = l,x* > oj

Consider the case where pesticides are used, = x, > 0. The first-order condition of Eq. (2) is focr

Condition (3) states that optimal pesticide application is where the value of the marginal productivity (VMP) of pesticides is equal to its price. Differentiation of (3) with respect to x yields the second-order conditions:


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