Comparison

Conceptual Distinction Between Marginal and Average Product

Marginal product and average product are two distinct, fundamental measures of productivity. The average product is the total output divided by the total quantity of an input, such as labor, representing the overall productivity per unit. In contrast, the marginal product measures the additional output generated from using one more unit of that input. They are not the same value.

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Updated 2025-07-30

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