Law of variable proportion

The law of variable proportions is said to exist when

• there are only two variable factoras

• there is a fixed factor and a variable factor

• all factors are variable

The law of variable proportion examines the production function

• is a long run production function

• with one fixed factor

• keeping all factors variable

• with one factor variable, while keeping the other factors fixed

As the slope of the total product curve gets flatter, the curve

• becomes convex

• does not change

• becomes concave

• becomes vertical

When MP is zero

• TP is maixmum

• TP starts falling

• AP becomes negative

• TP is zero

The marginal physical product of labour is given by

• ᐃL/ ᐃQ

• ᐃP/ ᐃL

• ᐃQ/ ᐃL

• Q/L

In the Law of variable proportion stage II is said to be in operation when

• the total product is increasing at an falling rate

• the total product is increasing at an increasing rate

• the total product is increasing

• the total product is increasing at an decreasing rate

Which stage represents the range of rational production decision?

• Stage III

• Stage I

• Stage II

At the point of inflexion the marginal product is at its

• maximum

• Zero

• Negative

• is equal to total product

_____________ is a function of inputs.

• Raw Materials

• Output

• Production Function

• Labour

When the amount of a factor increases the total output

• Decreases

• is maximum

• Increases

• becomes zero