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MICROECONOMICS CH : 7 PRODUCTION FUNTION AND RETURNS TO A FACTOR — Economics STD 11 Commerce — Question

CBSE BoardEnglish MediumSTD 11 CommerceEconomicsMICROECONOMICS CH : 7 PRODUCTION FUNTION AND RETURNS TO A FACTOR2 Marks
Question
Why should TP be maximum when MP = 0?
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Answer

MP is the rate of TP (ie., it measures the change in TP). When MP = 0, there is no change (or addition) in TP. Implying that TP should be maximum when MP = 0.

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