What do you mean by average product, Microeconomics

Assignment Help:

Average product of a factor is the total output produced per unit of the factor employed thus,

Average product = total product / number of units of factor employed

If Q stands for total product L for the number of a variable factor employed then a average product (AP) is given by:

Ap Q/L

We can measures the average product from the total product data given in table 16.1 thus when two units of labour are employed the average product is Q/K = 170 / 2 = 85 similarly when three units of labour are employed average product is 270/3 = 90 so on.


Related Discussions:- What do you mean by average product

Equations, Ask q3x+5=20 uestion #Minimum 100 words accepted#

Ask q3x+5=20 uestion #Minimum 100 words accepted#

Capital formation, Capital formation: Growth Economists believe that ...

Capital formation: Growth Economists believe that accumulation of capital is one main source of growth of an economy. Emphasis is given to the accumulation of more capital pe

Sources of external economies of scale, Sources of external economies of sc...

Sources of external economies of scale: Economies of Skilled Labour: This involves upgrading the skills of labour through the provision of education and training faci

Cholesterol within acceptable limits, The recent flooding in the upper Midw...

The recent flooding in the upper Midwest destroyed a important proportion of the corn crop.  Though, it has been discovered that corn oil is far better in keeping cholesterol withi

ENVIRONMENTAL POLLUTION TYPES, Pollutant Any substance, species produc...

Pollutant Any substance, species produced either by a natural source or by human activity, which produces very adverse effect on the environment is called pollutant. Some commo

Need help, #queA monopolist has a constant marginal and average cost of $10...

#queA monopolist has a constant marginal and average cost of $10 and faces a demand curve Of Qd = 1000-10P. Marginal revenue is given by MR= 1000-1/5Q. stion..

Cost push or supply inflation, Cost Push or Supply Inflation: It is a...

Cost Push or Supply Inflation: It is a situation where the process of increasing price level is caused by increasing costs of production which push up prices. Cost push infla

How do we obtain total cost curve, Total cost curve (TC) is obtained by add...

Total cost curve (TC) is obtained by adding up vertically total fixed cost and total variable cost curves because the total cost is sum of total fixed cost and total variable cost

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd