The total product curve may initially show output increasing at an increasing rate as more labour is hired because of the:

Related MCQs

• If labour is the only variable resource and its marginal physical product falls as more workers are hired:
• When both average and total product are greater than zero, and marginal product equals average product, then total product:
• Whenever marginal product is increasing with increasing use of an input,
• When Total utility is increasing at an decreasing rate, marginal utility is
• The reason the marginal cost curve eventually increases as output increases for the typical firm is because:
• When the total product curve is falling, the:
• If you know that with 8 units of output, average fixed cost is Rs. 12.50 and average variable cost is Rs. 81.25, then total cost at this output level is:
• Production possibilities curve does not show:
• When marginal product reaches its maximum, what can be said of total product?
• Under increasing returns to scale, which of the following is the nature of the long run average cost curve?