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marginal product

Which of the following relationships is correct?

a. When marginal product starts to decrease, marginal cost starts to decrease.

b. When marginal cost starts to increase, average cost starts to increase.

c. When marginal cost starts to increase, average variable cost starts to increase.

d. When marginal product starts to decrease, marginal cost starts to increase.

Solution Preview

Which of the following relationships is correct?

d. When marginal product starts to decrease, marginal cost starts to increase. ...

Solution Summary

Movement among marginal products is noted.

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