Question

What is average product?

Hint:

Average product helps determine the productivity of the input used in production.

Answer 1

Step 1: Understanding average product.
Average product refers to the output produced per unit of input, calculated by dividing total output by the quantity of input used. It is a key concept in production theory and helps in analyzing the efficiency of input usage.

Step 2: Conclusion.
Thus, average product is defined as the total product divided by the number of units of the variable factor.