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  • Average Product of Labor as the Slope of a Ray from the Origin

  • Conceptual Distinction Between Marginal and Average Product

Graphical Comparison of Marginal and Average Product

The conceptual distinction between marginal and average product is visualized on the production function graph through two different slope measures. The marginal product at a given point is represented by the slope of the tangent to the production function at that point, mathematically denoted by the first derivative, f′(x)f'(x). The average product of labor (APL) at that same point is represented by the slope of a ray drawn from the origin to the point on the function, calculated as APL=f(x)/xAPL = f(x)/x.

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Related

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Learn After

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