Production And Costs

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Average product is defined as the output per unit of variable input.

Average product is defined as the output per unit of variable input.

Marginal product of an input is defined as the change in output per unit of change in the input when all other inputs are held constant.

Total product (TP) is the total output a production unit can produce, using different combination of factors of production. In other words, Keeping all other inputs constant, relationship between the variable input and output, is referred to as Total Product (TP).