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1.4 Production, costs and revenue

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Question 31

The table below shows how a firm's total and average product change, in the short run, with different inputs of labour.

Number of workersTotal productAverage product
39030
416040
525050
631853
735050

Diminishing marginal returns to labour set in when the firm employs

A

4 workers

B

5 workers

C

6 workers

D

7 workers

Markscheme

1.4 Production, costs and revenue Questions

  1. A Level
  2. /Economics
  3. /1.4 Production, costs and revenue

156 exam-style questions on AQA A Level Economics 1.4 Production, costs and revenue, covering 1.4.1 Production and productivity, 1.4.2 Specialisation, division of labour and exchange, 1.4.3 The law of diminishing returns and returns to scale (A-level only), 1.4.4 Costs of production, 1.4.5 Economies and diseconomies of scale, 1.4.6 Marginal, average and total revenue, 1.4.7 Profit, and 1.4.8 Technological change (A-level only). Each one has a worked solution and a mark scheme showing where the marks go.

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