Home
Class 12
ECONOMICS
Under diminishing returns to a factor, t...

Under diminishing returns to a factor, total product continues to increase till marginal product reaches zero.

Text Solution

Verified by Experts

True: Total product continues to increase till marginal product reaches zero. As soon as marginal product becomes negative (less than zero), total product will start declining.
It is so because Total Product `= sum MP_(L)` (Marginal Product).
Promotional Banner

Topper's Solved these Questions

  • PRODUCER EQUILIBRIUM

    FULL MARKS|Exercise NCERT TEXTBOOK QUESTIONS SOLVED|40 Videos

  • REVENUE

    FULL MARKS|Exercise NCERT TEXTBOOK QUESTIONS SOLVED|65 Videos

Similar Questions

Explore conceptually related problems

When there are diminishing returns to a factor, total product always decreases.

Total product will increase only when marginal product increases.

When there are diminishing returns to a factor, total product first increases and then starts falling.

FULL MARKS-PRODUCTION-NCERT TEXTBOOK QUESTIONS SOLVED
  1. If marginal product becomes negative, average product must also become...

    Text Solution

    |

  2. Average product will increase only when marginal product increases. ...

    Text Solution

    |

  3. Under diminishing returns to a factor, total product continues to incr...

    Text Solution

    |

  4. State the behaviour of marginal product in the law of variable proport...

    Text Solution

    |

  5. If diminishing marginal returns will set in after the very first unit ...

    Text Solution

    |

  6. Explain the differences between variable factors and fixed factors.

    Text Solution

    |

  7. Explain how is it possible for marginal product to fall while average ...

    Text Solution

    |

  8. Assume the marginal product for a particular good is constant. Describ...

    Text Solution

    |

  9. Comment on the following statement: "When average product and marginal...

    Text Solution

    |

  10. Comment on the following statement: "Diminishing returns occur when to...

    Text Solution

    |

  11. A farmer in Punjab transports wheat from the farm to a flour mill. Is ...

    Text Solution

    |

  12. How can the productivity of Human resources be increased?

    Text Solution

    |

  13. Availability of agricultural land (fixed factor) is limited in the wor...

    Text Solution

    |

  14. Though the contribution of plastic industry in GDP is more, yet why is...

    Text Solution

    |

  15. Which one of the following will be treated as labour in economics? Giv...

    Text Solution

    |

  16. What efforts should be made in an economy for the continuous use of ex...

    Text Solution

    |

  17. The data below shows the relationship between total output and the amo...

    Text Solution

    |

  18. Give reasons for the following statements: (i) Variable factor prop...

    Text Solution

    |

  19. If the total product curve is a straight line through the origin, what...

    Text Solution

    |

  20. Explain the differences between variable factors and fixed factors.

    Text Solution

    |