Target Exam

CUET

Subject

Economics

Chapter

Micro Economics: Production and Costs

Question:

Case study: If by the use of one unit of labour, 2 quintals of wheat is produced by a farmer and by the use of two units of labour, 5 quintals of wheat is produced. On the basis of this information, answer the following question.

What will be the Marginal Product of wheat?

Options:

1 quintal of wheat

2 quintal of wheat

3 quintal of wheat

4 quintal of wheat

Correct Answer:

3 quintal of wheat

Explanation:

The correct answer is option 3: 3 quintal of wheat

Marginal product= Changed output/ changed input.
MP= Change in TP/Change in Labour
MP=(5-2)/1=3