Use the following figure to answer the questions :
Figure 7-2 shows the total product curve for different levels of a variable input,labor.
-In Figure 7-2,marginal product reaches a maximum at point _____.
A)A
B)B
C)C

Question

Use the following figure to answer the questions :
Figure 7-2 shows the total product curve for different levels of a variable input,labor. 
-In Figure 7-2,marginal product reaches a maximum at point _____.
A)A 
B)B 
C)C

Quizplus · Accepted Answer

Marginal product reaches a maximum at the point where the total product curve starts to slope downward, which is point B in this figure. Beyond point B, the marginal product decreases as the variable input (labor) is increased, indicating diminishing marginal returns. Therefore, choosing the input level that corresponds to point B would maximize output per unit of input.

Use the Following Figure to Answer the Questions