Flashcards in Production in the Short Run 7.2-3-Jenna Bryant Deck (12):
1
Where does the marginal product curve belong?
Below the total product curve
2
What is the marginal product curve?
Reflects changes in the total product curve and is drawn using the same horizontal axis
3
What happens to the marginal product curve when the total product curve is increasing?
The marginal product curve is also increasing
4
What happens to MP when TP is increasing at a decreasing rate?
MP is positive but falling
5
What happens to MP when TP reaches its maximum point?
MP=0, it crosses the x-axis
6
After MP equals 0 what happens to the curve?
After this point MP becomes negative
7
What happens to TP when MP becomes negative?
TP continues to fall
8
On the TP curve when slope is increasing at an increasing rate, MP is?
MP is increasing
9
On the TP curve when slope is increasing at a decreasing rate, MP is?
MP is decreasing
10
On the TP curve when slope is decreasing at a decreasing rate, MP is?
MP is negative
11
Where do you graph the MP curve?
Right under the TP curve
12