Exhibit 7.1

-Refer to Exhibit 7.1,which shows the total product and marginal product produced by a firm.Between zero and three workers,_____
A)marginal product is rising and total product increases by increasing amounts.
B)marginal product is falling but still positive, and total product increases by decreasing amounts.
C)marginal product equals zero and total product is at a maximum.
D)marginal product is negative and total product is falling.
E)marginal product is negative and total product is rising.

Question

Exhibit 7.1
 
-Refer to Exhibit 7.1,which shows the total product and marginal product produced by a firm.Between zero and three workers,_____
A)marginal product is rising and total product increases by increasing amounts. 
B)marginal product is falling but still positive, and total product increases by decreasing amounts. 
C)marginal product equals zero and total product is at a maximum. 
D)marginal product is negative and total product is falling. 
E)marginal product is negative and total product is rising.

Quizplus · Accepted Answer

Between zero and three workers, marginal product is rising and total product increases by increasing amounts. This is because the slope of the total product curve is at its steepest point which indicates an increase in marginal product.

Exhibit 7.1 -Refer to Exhibit 7.1,which Shows the Total Product and Marginal