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| 1. |
Explain the relationsphip between the marginal products (MP) and the total product (TP) of an input. |
| Answer» SOLUTION :The relationship between TP and MP is explained through the Law of VARIABLE Proportions. As LONG as the the TP increases at an increasing rate, the MP also increases. This goes on till MP reaches maximum. When TP increases at a diminishing rate, MP declines. | |