Figure 13-4
-Refer to Figure 13-4. Which of the above marginal cost curves reflects diminishing marginal product?
A)A
B)B
C)C

Question

Figure 13-4 
-Refer to Figure 13-4. Which of the above marginal cost curves reflects diminishing marginal product?
A)A 
B)B 
C)C

Quizplus · Accepted Answer

Marginal cost is the change in total cost divided by the change in output. Diminishing marginal product means that as more of a variable input is added, the additional output produced by each additional unit of the variable input decreases. This means that the marginal cost of producing each additional unit of output increases. In Figure 13-4, marginal cost curve A reflects diminishing marginal product because it is upward sloping, indicating that the marginal cost of producing each additional unit of output increases as more output is produced.

Figure 13-4 -Refer to Figure 13-4. Which of the Above Marginal Cost