Principles of Microeconomics / Unit 6 MIC 0509 short lesson, about 20 seconds
Total Product and Marginal Product
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The idea
Total product is the output from a given number of workers. Marginal product is the extra output from one more worker, with the other inputs fixed.
In practice
Two workers make fifty loaves and three make seventy, so the third's marginal product is twenty.
Where people slip
Marginal product belongs to the added worker, not to the whole team. It is a difference between two rows.
Your place on the trail
Every lesson rests on earlier ones and opens later ones. Tap any to jump.
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