When the average physical product curve is rising the marginal physical product is

Chuks612

9 years ago

Yes. Correct. This is as a result of the law of diminishing returns. Which states, as more of a variable factor is added to a fixed factor, output would increase at first,Buh it would get to a point where one additional unit of the variable factor will yield less returns to output.

So, if average product is rising,marginal product is also rising, making it above it.

SucceyAsher

3 years ago

I think this picture below explains it all. We can see that the curve labelled MP rises together with TP and AP. But Mp is actually slightly above AP.

Although MP falls faster than the other two curves.