Figure 13-4
The curves in this figure reflect information about the average total cost, average fixed cost, average variable cost, and marginal cost for a firm.

-Refer to Figure 13-4.When is this particular firm necessarily experiencing increasing marginal product
A)when curve A is falling
B)when curve B is falling
C)when curve C is falling
D)when curve D is falling

Question

Figure 13-4
The curves in this figure reflect information about the average total cost, average fixed cost, average variable cost, and marginal cost for a firm.
 
-Refer to Figure 13-4.When is this particular firm necessarily experiencing increasing marginal product
A)when curve A is falling 
B)when curve B is falling 
C)when curve C is falling 
D)when curve D is falling

Quizplus · Accepted Answer

When curve A is falling, it indicates that the marginal cost is decreasing, which typically corresponds to an increasing marginal product.

Figure 13-4 The Curves in This Figure Reflect Information About the Average