Q1. Which of the following conditions is most likely to exist for a typical production process when average product is at its maximum?

A)   Marginal product is increasing.

B)   Average variable cost is at a minimum.

C)   Marginal cost is at a minimum.

Q2. Assume that output increased from 1,550 to 1,850 units per day as a result of increasing labor from 200 to 210 workers. The marginal product of labor is closest to:

A)   30 units per day per worker.

B)   1.55 units per day per worker.

C)   1.25 units per day per worker.

Q3. Which of the following most accurately describes the typical relationship between marginal product (MP) and average product (AP)? As the quantity of labor increases:

A)   initially, AP > MP, then AP = MP, then AP < MP.

B)   initially, AP < MP, then AP = MP, then AP > MP.

C)   initially, AP = MP, then AP > MP.

答案和详解如下：

Q1. Which of the following conditions is most likely to exist for a typical production process when average product is at its maximum?

A)   Marginal product is increasing.

B)   Average variable cost is at a minimum.

C)   Marginal cost is at a minimum.

Correct answer is B)

When average product is at a maximum, average variable cost is at a minimum. At the corresponding labor and output level, marginal product is decreasing and marginal cost is increasing.

Q2. Assume that output increased from 1,550 to 1,850 units per day as a result of increasing labor from 200 to 210 workers. The marginal product of labor is closest to:

A)   30 units per day per worker.

B)   1.55 units per day per worker.

C)   1.25 units per day per worker.

Correct answer is A)

Marginal product is the additional output per additional unit of an input (labor). Since output changed by 300 units and labor changed by 10 workers, the marginal product is 300 / 10 = 30 units per day per worker.

Q3. Which of the following most accurately describes the typical relationship between marginal product (MP) and average product (AP)? As the quantity of labor increases:

A)   initially, AP > MP, then AP = MP, then AP < MP.

B)   initially, AP < MP, then AP = MP, then AP > MP.

C)   initially, AP = MP, then AP > MP.

Correct answer is B)

MP intersects the AP minimum from above. MP is initially greater than average product, and then MP and AP intersect. Beyond this intersection, MP is less than AP. (Hint: sketch the curves.)

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