Question

What will be the marginal product

1. when the total product of a variable factor reaches its maximum.
2. when is total product falling? Draw a diagram to illustrate your answer.

Answer 1

When total product reaches its highest point (represented as point A on the TP curve), the marginal product becomes zero (shown as point B on the MP curve). If production continues beyond point A, total product begins to decline, and the marginal product turns negative (indicated by the MP curve falling below the X-axis).