Figure 7-2 shows the total product curve for different levels of a variable input,labor.
Figure 7-2
-When the quantity of labor employed lies between points C and D in Figure 7-2:
A)marginal product reaches a maximum.
B)average product is rising and reaches a maximum at D.
C)total product declines.
D)marginal product is falling.

Question

Figure 7-2 shows the total product curve for different levels of a variable input,labor.
Figure 7-2 
-When the quantity of labor employed lies between points C and D in Figure 7-2:
A)marginal product reaches a maximum. 
B)average product is rising and reaches a maximum at D. 
C)total product declines. 
D)marginal product is falling.

Quizplus · Accepted Answer

Between points C and D, the marginal product is falling, indicating that each additional unit of labor adds less to total output than the previous unit.

Figure 7-2 Shows the Total Product Curve for Different Levels