Multiple choice

Read the Table below & answer the following question: Labour Input Marginal Product Total Product Average Product 0 0 0 0 1 25 2 90 3 120 4 140 5 28 6 20 Output per worker is maximized at a labour Input of:

  1. 2

  2. 4

  3. 6

  4. 8

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A Correct answer
AI explanation

Output per worker refers to the Average Product, which is calculated as Total Product divided by Labour Input. At labour input 1, the Total Product is 25, making the Average Product 25. At labour input 2, the Total Product is 90, making the Average Product 45. At labour input 3, the Total Product is 120, making the Average Product 40. Since 45 is the highest Average Product among all levels, output per worker is maximized at a labour input of 2.