What would you like to do?
What is the relationship between marginal product and average product?
There is an inverse relationship between the two. The formula for showing this is AVC=1/APL. Using this formula you will be able to figure out each one.
Factors multiply together to become a product.
The marginal product curve is 'n' shaped because of the law of diminishing returns. As you add more units of a variable factor, at first, the marginal product rises, (this is …because the fixed factor is under-utilised, so adding more units of the variable factor will increase the output from each additional unit). But after a certain point, the marginal product begins to fall, as the fixed factor input becomes diluted amongst workers and so you get less from each additional unit of the variable factor. For an example, re-read the above paragraph and replace the word variable factor with labour and fixed factor with capital. The marginal cost curve is the inverse of the marginal product curve - hence it is shaped like a 'u' or a 'Nike tick'. This is because if your marginal product is high - then your marginal costs are low. For example, if a firm must pay electricity for the time it takes to produce a unit, if the firm can produce the unit quicker (i.e. has a high marginal product) then the cost of electricity will be lower. Hence the inverse relationship between marginal cost and marginal product.
We can increase productivity by using safe work practices and providing a safe work environment. On the other hand, an excessive focus on productivity, without regard for othe…r considerations can often reduce safety and through increased waste and injuries, can actually reduce productivity.
As a basic law of economics, production and supply go hand in hand. At first, if you produce something people want, you make money by selling it. If you keep producing, you ma…ke more money. But if you produce too much, and there is no longer a demand for the product, you will not make as much money. so, as production increases, money increases until you reach the point where supply and demand are equal.
Example: When you have a high quality raw material, you may have a low defect/reject. This may lead you to have high productivity. Productivity = Output / Input. Raw material… is an input which can be transformed into a product (output). By the formula of Productivity, high quality of input (use small amount, less defect or reject) may lead to have high output and result on high productivity.
You can't produce something without capital unless you have an inventory of the ingredients you need to produce it. For instance, if you wanted to make a recipe for chocolate …chip cookies, you couldn't make them unless you had the ingredients on hand if you didn't have any money to buy them, unless someone gave them to you.
Draw a diagram with marginal product and average productExplain the relationship between marginal product and average product?
Marginal product is any input in the production process is the increase in the quantity of output obtained from on additional unit of the input. Average product is the output… produced when one more unit of the variable factor is employed The relationship is state as: If labour's marginal product is exceed its average product that means labour's average product will be rising. Labour's average product will be falling. If labour's marginal product is less than its average product. If labour's marginal product is equal its average product and the average product will reach the minimum value at the point.
What is the relationship between marginal physical product MPP and marginal cost MC Provide an examples?
what is the relationship between marginal physical product and marginal cos
Marginal product is equal to average product when average product is maximum Marginal product determines the behaviour of the Average product. AP rises, reaches maximum and …thereafter falls.For all sections that the MP is greater than the AP, the AP rises and MP is below AP, the AP decreases.Marginal product reaches maximum at a lower level of employment than does the AP
the relationship between taxation and production is that taxation is the process where by a business firm provides a certain amount of money to the national government after d…oing a certain transactions while production is the creation of goods or services for exchange and satisfying human needs or wants their relation is that both of them works on increasing government income, and their depending to each other, for example without production there wont be taxation because taxes are mostly collected from the production of goods and services.
The relationship between quality and the product is important as the quality of a product is what sales the product. Quality means a lot to me, I will pay for good quality pro…ducts and also food.
The relationship between production and cost in any manufacturing process varies based on volume produced and whether any part of the manufacturing process is outsourced or pe…rformed by subcontractors. Additionally, production and cost ratios vary based on the amount of automation involved in production and the amount of human oversight and involvement required.
Higher quality goods take more time and labour and higher quality raw materials to produce, so a drive to greater productivity almost always means a diminution of quality. An …exception is in cases where standardization and precision mean a significant increase of quality, as in machine parts, which can be made more standard and more precise by machine, which is also more efficient.
it means organization produce the product &
We can think about this problem as both side that is long term and short term. This relation is invers ratio, I mean, If average cost increase, average product should decrease….
The relationship between consumption and production is that production is dependent on consumption. The higher the consumption, the higher the production.