Which of the following statement is true ........

Economics (CUET) Theory of Production and Cost

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Which of the following statement is true:

Marginal Product refers to total output produced by a firm during a given period of time with given number of inputs.

Average Product refers to total output produced by a firm during a given period of time with given number of inputs.

Total Product refers to total output produced by a firm during a given period of time with given number of inputs.

Total Product refers to total input produced by a firm during a given period of time with given number of output.

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Explanation:

- Option 1: Marginal Product refers to the additional output generated by using one more unit of input while keeping other inputs constant. This describes the change in total output resulting from a unit increase in an input.

- Option 2: Average Product is calculated by dividing the total product by the number of units of input used. It represents the output per unit of input employed.

- Option 3: Total Product refers to the total output produced by a firm during a given period of time with a given number of inputs. This is the cumulative output from all inputs combined.

- Option 4: This statement is incorrect as output is not what firms typically produce from inputs. Total Product is about outputs, not inputs produced.