Question

The Marginal Product of an input is__________________________.

• A. Extra product produced by one extra unit of input while other inputs are held constant
• B. Extra product produced by reducing one unit of input while other inputs are held constant
• C. Reduction in total product due to one extra unit of input while other inputs are held constant
• D. Reduction in total product by reducing one unit of input while other inputs are changing.

Answer 1

Answer: (A)

Extra product produced by one extra unit of input while other inputs are held constant

Marginal product refers to the change in production level or additional production which a firm produces for a unit change in the quantity of variable factor. It is the change in total production of the firm.