EduFarming
Your list · 0हिं

Type at least two letters. Press Esc to close.

↑↓ navigate↵ openTAB cycle filter

Production Function: TP, MP and AP · Question 19 of 62

In the graph, the TP curve rises more and more steeply up to 3 workers.

Question 19

MediumOriginal question

In the graph, the TP curve rises more and more steeply up to 3 workers. This is because

A total product curve: TP is 10 with 1 labourer, then 24, 39, 52, 60, 66, 70 with 7, stays at 70 with 8, and falls to 63 with 9.
Options for question 19

Show the answer and explanation
CorrectNot quiteAnswer D

Correct answer: D

Explanation

  1. The slope of TP is MP. MP rising means each worker adds more than the last, so TP rises at an increasing rate.

  2. With few workers on the fixed capital, specialisation and better use of the capital raise each worker's addition.

Concept
Increasing returns to a factor
Typical time
70 s
Your time
—
The rule this testsTotal, marginal and average product
Practise this chapter →

Ten questions from Production Function: TP, MP and AP, at your own pace.

Practise this chapter →

Ten questions from Production Function: TP, MP and AP, at your own pace.

Practise this chapterAll 62 questions in Production Function: TP, MP and APRevise the notes for Production Function: TP, MP and AP