The figure above shows a firm's total product curve.
-Which of the points show efficient production points?
A) all points above the TP curve
B) all points on the TP curve
C) all the darkened points below the TP curve
D) all the points above and on the TP curve
E) all the darkened points below and on the TP curve

Question

The figure above shows a firm's total product curve.
-Which of the points show efficient production points?
A) all points above the TP curve 
B) all points on the TP curve 
C) all the darkened points below the TP curve 
D) all the points above and on the TP curve 
E) all the darkened points below and on the TP curve

Quizplus · Accepted Answer

Efficient production points are those where the maximum output is achieved with the given inputs, represented by points on the Total Product (TP) curve. Points above or below the curve indicate underutilization or unattainable production levels, respectively.

The Figure Above Shows a Firm's Total Product Curve