When TP reaches its maximum point, MP becomes zero. This concept can be better understood with the help of the following schedule and diagram. As you can see in the graph, TP increases at an increasing rate till point P, the point of inflextion, and till that point (i.e. the 2nd unit of variable factor), MP increases.
Why TP is maximum when MP is zero?
When the Marginal Product (MP) increases, the Total Product is also increasing at an increasing rate. This gives the Total product curve a convex shape in the beginning as variable factor inputs increase. ... When the MP becomes zero, Total Product reaches its maximum.
What is MP when TP is constant?
When marginal product (MP) is constant, total product (TP) also remains constant. False; when MP is constant, TP increases at a constant rate. Explain the relationship between the marginal products and the total product of an input. Note.