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If the marginal product of labor declines from the very start (first labor), in one graph,...

  1. If the marginal product of labor declines from the very start (first labor), in one graph, draw the MC, ATC, and AVC curves.
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Answer #1

While making MC , ATC ,and AVC curve we need to mention some points.

* As marginal product of labour decline from starting ,so All three curve will be increasing from start or in other words they all will be strictly increasing.

* MC curve will always above AVC.

* ATC=AVC+AFC, shows ATC will always above AVC but as quantity Increases ,the gap between them Decreases but both Never intersect each other.

* At quantity =1 , MC = ATC

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