Question 4 of 31beginner🧠 RememberVery Short1 mark
What is the average product of an input?
Correct Answer
Average product is defined as the output per unit of variable input. It is calculated as the ratio of Total Product to the quantity of the variable input employed.
Exercise: EXERCISES | Q: 3 | (Page 15)
For More Understanding
Explanation
According to the NCERT textbook, Average Product (AP) measures the output produced per unit of the variable input. The formula given is AP_L = TP_L / L, where TP_L is the Total Product of Labour and L is the quantity of labour employed. It represents the average contribution of each unit of the variable input to the total production process.