In the short run, the relation between number of hours worked and quantity produced looks like in the table.
|
L
|
q
|
|
0
|
0
|
|
20
|
30
|
|
40
|
100
|
|
60
|
170
|
|
80
|
210
|
|
100
|
200
|
a) Draw a graph of what the production curve looks like.
b) Explain the concepts of "average product of labor," APL, and "marginal product of labor," MPL, and what they correspond to in the graph.
c) Draw another graph below the production curve, illustrating the shapes of APL and MPL. Explain how to find the most characteristic points for APL and MPL on the production curve and indicate the relations in the graphs.