Which of the following is correct about marginal and average products? A) When the average product is increasing, the marginal product must b decreasing. B) When the marginal product is increasing, the average product must b increasing. C) When the marginal product exceeds the average product, the average product must be increasing. D) When the marginal product is decreasing, the average product must decreasing.

Exploring Economics
8th Edition
ISBN:9781544336329
Author:Robert L. Sexton
Publisher:Robert L. Sexton
Chapter11: The Firm: Production And Costs
Section: Chapter Questions
Problem 5P
icon
Related questions
Question
100%
Which of the following is correct about marginal and average products?
A)
When the average product is increasing, the marginal product must be
decreasing.
B)
When the marginal product is increasing, the average product must be
increasing.
When the marginal product exceeds the average product, the average
C)
product must be increasing.
D)
When the marginal product is decreasing, the average product must be
decreasing.
Transcribed Image Text:Which of the following is correct about marginal and average products? A) When the average product is increasing, the marginal product must be decreasing. B) When the marginal product is increasing, the average product must be increasing. When the marginal product exceeds the average product, the average C) product must be increasing. D) When the marginal product is decreasing, the average product must be decreasing.
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Marginal Product
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Recommended textbooks for you
Exploring Economics
Exploring Economics
Economics
ISBN:
9781544336329
Author:
Robert L. Sexton
Publisher:
SAGE Publications, Inc
Survey Of Economics
Survey Of Economics
Economics
ISBN:
9781337111522
Author:
Tucker, Irvin B.
Publisher:
Cengage,
Economics For Today
Economics For Today
Economics
ISBN:
9781337613040
Author:
Tucker
Publisher:
Cengage Learning
Micro Economics For Today
Micro Economics For Today
Economics
ISBN:
9781337613064
Author:
Tucker, Irvin B.
Publisher:
Cengage,
Microeconomics: Private and Public Choice (MindTa…
Microeconomics: Private and Public Choice (MindTa…
Economics
ISBN:
9781305506893
Author:
James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:
Cengage Learning
Economics: Private and Public Choice (MindTap Cou…
Economics: Private and Public Choice (MindTap Cou…
Economics
ISBN:
9781305506725
Author:
James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:
Cengage Learning