Consider a firm\'s per-period (e.g., hourly) production process. If it employs 1

Question

Consider a firm's per-period (e.g., hourly) production process. If it employs 1 unit of labor, then 8 units of output will be produced; if it employs 2 units of labor, then 12 units of output will be produced; and if it employs 3 units of labor, then 15 units of output will be produced. It follows that total output is increasing at an increasing rate and the marginal product of labor is increasing total output is increasing at an increasing rate and the marginal product of labor is decreasing total output is increasing at an increasing rate and the marginal product of labor is constant rginal product of I total output is increasing at a decreasing rate and the marginal product of labor is increasing total output is increasing at a decreasing rate and the marginal product of labor is constant

Explanation / Answer

Answer
Option fourth
The TP is increasing at decreasing rate and MP is decreasing
TP(1)=8
TP(2)=12
TP(3)=15
MP(1)=8
MP(2)=12-8=4
MP(3)=15-12=3
the TP is increasing but decreasing rate and MP is decreasing the rate of increasing TP is MP

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