When total product is increasing at a decreasing rate, marginal product is positive, but falling.

Question

Quizplus · Accepted Answer

When total product is increasing, marginal product is positive, as each additional input is adding more output than the previous one. However, when the total product starts increasing at a decreasing rate, it means that each additional input is adding less output than the previous one, hence marginal product is falling, but still positive.

When Total Product Is Increasing at a Decreasing Rate, Marginal