Average Product Is Equal to

question 84

Multiple Choice

Average product is equal to

• A) marginal product + total product.
• B) total product ÷ marginal product.
• C) total product ÷ quantity of labor.
• D) total product × quantity of labor.
• E) marginal product × quantity of labor.

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Definitions:

Opportunity Cost

represents the value of the next best alternative forgone as a result of making a decision.

Scarcity

The fundamental economic problem of having seemingly unlimited human wants and needs in a world of limited resources.

Economic Growth

is an increase in the production of goods and services in an economy over a period of time, often measured by GDP.

Entrepreneurial Ability

is the skill set and initiative to start, manage, and succeed in a new business venture or enterprise.