The table below shows variations in output as units of a variable factor (labour) are added to a fixed factor (capital) ?
a) Complete the table by filling in the marginal and average product of labour columns. Show how you derived at least the first two answers in each column.
b) How to plot the total product curve separately on the top and the marginal and average product curves on the same diagram, at the bottom of the total product curve?
c) Locate the maximum point on the average product curve and label it M. Compare the values of the average product and the marginal product at that point. What are the values of the variable input and output at that point?
d) What is the value of the marginal product when total product is at its maximum?
a) Complete the table by filling in the marginal and average product of labour columns. Show how you derived at least the first two answers in each column.
b) How to plot the total product curve separately on the top and the marginal and average product curves on the same diagram, at the bottom of the total product curve?
c) Locate the maximum point on the average product curve and label it M. Compare the values of the average product and the marginal product at that point. What are the values of the variable input and output at that point?
d) What is the value of the marginal product when total product is at its maximum?
1 Answer
Nov 22, 2016
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