Figure: The Total Product (Figure: The Total Product) Look at the figure The Total Product.Between points A and B the marginal product of labor is:
A)increasing.
B)zero.
C)falling.
D)infinite.

Question

Figure: The Total Product   (Figure: The Total Product) Look at the figure The Total Product.Between points A and B the marginal product of labor is:
A)increasing. 
B)zero. 
C)falling. 
D)infinite.

Quizplus · Accepted Answer

The marginal product of labor is the additional output produced by adding one more unit of labor. Between points A and B, the total product is increasing at a decreasing rate, which means that the marginal product of labor is falling. Once point B is reached, the marginal product of labor becomes zero.

Figure: the Total Product (Figure: the Total Product)