If, as the quantity produced increases, a production function first exhibits increasing marginal product and later diminishing marginal product, the corresponding marginal cost curve will be U-shaped.

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This is because initially, increasing marginal product means that each additional unit of input leads to a greater increase in output, which lowers marginal cost. However, after a certain point, diminishing marginal product sets in, where each additional unit of input leads to a smaller increase in output, which raises marginal cost. This creates a U-shaped marginal cost curve.

If, as the Quantity Produced Increases, a Production Function First