Figure 13-1
-Refer to Figure 13-1. Suppose the production function shifts from TP1 to TP2. Such a shift in the total product curve is most likely due to an increase in the firm's
A) costs of production.
B) productivity.
C) product price.
D) market share.

Question

Figure 13-1 
-Refer to Figure 13-1. Suppose the production function shifts from TP1 to TP2. Such a shift in the total product curve is most likely due to an increase in the firm's
A) costs of production. 
B) productivity. 
C) product price. 
D) market share.

Quizplus · Accepted Answer

A shift in the total product curve from TP1 to TP2 indicates an increase in productivity, which means that the same inputs are producing more output. This could be due to a variety of factors such as improved technology or better worker training. It is not due to an increase in costs of production, product price, or market share.

Figure 13-1 -Refer to Figure 13-1. Suppose the Production Function Shifts from Function