Use the figure below to answer the following questions. Figure 10.2.1
-Refer to Figure 10.2.1 which illustrates Tania's Teapots' total product curve.Marginal product of labour reaches its maximum when the number of workers increases from
A)zero to 1.
B)1 to 2.
C)2 to 3.
D)3 to 4.
E)4 to 5.

Question

Use the figure below to answer the following questions.  Figure 10.2.1
-Refer to Figure 10.2.1 which illustrates Tania's Teapots' total product curve.Marginal product of labour reaches its maximum when the number of workers increases from
A)zero to 1. 
B)1 to 2. 
C)2 to 3. 
D)3 to 4. 
E)4 to 5.

Quizplus · Accepted Answer

The marginal product of labor reaches its maximum when the additional output produced by an additional worker is the highest. This typically occurs before diminishing returns set in, which is often when going from 1 to 2 workers, assuming a standard production function.

Use the Figure Below to Answer the Following Questions