At 36 units of labor, a firm finds that both average product of labor and marginal product of labor equal 42.We can conclude that the average product curve at 36 units of labor is:
A) upward-sloping.
B) downward-sloping.
C) vertical.
D) horizontal.

Question

Quizplus · Accepted Answer

When the average product of labor equals the marginal product of labor, the average product curve is at its maximum point, meaning it is horizontal at that point.

At 36 Units of Labor, a Firm Finds That Both