The average product of a variable input
A)decreases at an increasing rate.
B)constantly rises over the relevant range of production.
C)is the change in the total product that occurs when the variable input increases one unit.
D)is defined as the total product divided by the quantity of the variable input.

Question

Quizplus · Accepted Answer

The average product of a variable input is defined as the total product divided by the quantity of the variable input. It measures the output per unit of input and gives an indication of the efficiency with which the input is being used. It does not necessarily increase or decrease at a constant rate, as this will depend on the production function and the level of output.

The Average Product of a Variable Input