For the Production Function Q = Q(L),the Average Product of Labor

question 67

Multiple Choice

For the production function Q = Q(L) ,the average product of labor is given as AP_L = Q(L) /L.Taking the deriviative with respect to L,we have dAP_L/dL = 1/L(dQ/dL - Q/L) ,implying that:

• A)when the MP_L is equal to the AP_L,AP_L is decreasing.
• B)when the MP_L is greater than the AP_L,AP_L is decreasing.
• C)when the MP_L is greater than the AP_L,AP_L is increasing.
• D)when the MP_L is less than the AP_L,AP_L is increasing.

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