Sketch graph a standard short-run production functions, and identify on it the points where the average product peaks, the marginal product peaks, the marginal product reaches zero, and the average and marginal product intersect.

What will be an ideal response?


Make sure the average product peaks at the output where the ray from the origin is tangent to the total product curve and where the marginal product passes through it. The marginal product must peak at the output where the inflection point is on the total product curve, and the marginal product reaches zero when the total product peaks.

  

Economics

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