Write True or False with a reason.
Fall in marginal product must lead to a fall in average product as well.

True

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False

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Solution

The correct option is B False
Average product can rise even when marginal product falls. See AP and MP corresponding to output range MQ in figure. AP rises corresponding to falling MP so long as falling MP is greater than the existing AP.

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Similar questions

State whether true or false, and explain.

"If average product is increasing, marginal product must be less than the average product."

State whether true or false, and explain.

"If marginal product is negative, average product must be negative."

Giving reasons, state whether the following statements are true or false:
(i) Average product will increase only when marginal product increases.
(ii) Under diminishing returns to a factor, total product continues to increase until marginal product reaches zero.

State whether true or false, and explain

"Whenever marginal product is equal to average product, total product is at its maximum."

Q. When the marginal product falls, the average product __________.

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Write True or False with a reason.Fall in marginal product must lead to a fall in average product as well.

The correct option is B FalseAverage product can rise even when marginal product falls. See AP and MP corresponding to output range MQ in figure. AP rises corresponding to falling MP so long as falling MP is greater than the existing AP.

Write True or False with a reason.
Fall in marginal product must lead to a fall in average product as well.

The correct option is B False
Average product can rise even when marginal product falls. See AP and MP corresponding to output range MQ in figure. AP rises corresponding to falling MP so long as falling MP is greater than the existing AP.