For a simple graph of a production function with Q on the y-axis and L on the x-axis, the average product of labor is never equal to the slope of the ray from the origin to the apex of the production function.

Question

Quizplus · Accepted Answer

The average product of labor is equal to the slope of the ray from the origin to the apex of the production function at the point where the ray intersects an isoquant. This is because the slope of the ray represents the marginal product of labor, which is equal to the average product of labor at that point. The average product of labor is equal to the slope of the ray from the origin to the apex of the production function.

For a Simple Graph of a Production Function with Q