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it refers to the product per unit of the variable factor.

Mathematically

AP=TP/Q and i have no idea what im talking about! soo lol hahahahahahahahah! idk! dont use wiki answer its not very good! thanks!

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Joe Johnston

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3y ago

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Related Questions

What would happen to marginal and average productivity if a technological innovation were introduced to the production process?

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Why does the marginal cost curve cut through the average variable cost curve exactly at the minimum of the average variable cost curve?

Marginal cost curve cuts average cost (variable or total cost) at its minimum simply to portray the law of variable proportions. The idea is as labor is increased with capital being fixed, productivity increases upto a point and then decreases and later becomes negative. To relate the same productivity with average cost function, the average cost first decreases , reaches a minimum and then increases. Now marginal cost is just a change in the total cost. Logic says that when MC is less than AC productivity is favourable, thus cost is falling. When MC is more than AC productivity is not favourable and thus the rising portion of the cost curve. When MC = AC , the productivity that was reducing the average cost per unit has maximized and from then on starts rising cost(or decreasing productivity). That is the only point where they can intersect.


What is the fundamental invention underpinning the recent rise int he average rate of productivity growth?

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