why mp increases faster than ap??
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hiiii mate here your answer ✔️ ✔️
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In order to understand this, let's understand the characteristics of the marginal and the average component which are as follows.
The marginal component (MC or MP) always rises faster than the average component (AC or AP). That is, the rate of increase in the marginal component is higher than that of the average component.
Also, the marginal component (MC or MP) always falls faster than the average component (AC or AP).That is, the rate of fall of the marginal component is higher than that of the average component.
I believe, if you are still not able to get this, then the below example will iron-out all the doubts. Suppose, you have scored in the following manner.
English- 85
Economics- 90
Mathematics- 100
Business- 90
Now, calculate your average marks- it is 85+90+100+90 whole divided by 4 i.e. your average marks is 91.25. Great!!
Now, suppose you have scored 70 in Accountancy. This 70 marks is the addition to your total marks- i.e. this is the marginal marks. Now, see what is the impact of these 70 marks on your average marks. Even after considering your marks in Accountancy, your average mark has just fallen by only 4.25 points (new average marks- 87, whereas, the old one was 91.25).
Compare the change in marginal marks (70) with respect to the change in the average marks (4.25)? This is why, we say marginal is spontaneous and average is sluggish. You will find this concept in all the variables you will come across the subsequent chapters- (Marginal Cost, Average Cost, Marginal Revenue and Average Revenue, Marginal Propensity to Consume and Average Propensity to Consume, Marginal Propensity to Save and Average Propensity to Save).
______________________________
❤️ I hope you mark as brainlist⭐❤️
_____________________________
In order to understand this, let's understand the characteristics of the marginal and the average component which are as follows.
The marginal component (MC or MP) always rises faster than the average component (AC or AP). That is, the rate of increase in the marginal component is higher than that of the average component.
Also, the marginal component (MC or MP) always falls faster than the average component (AC or AP).That is, the rate of fall of the marginal component is higher than that of the average component.
I believe, if you are still not able to get this, then the below example will iron-out all the doubts. Suppose, you have scored in the following manner.
English- 85
Economics- 90
Mathematics- 100
Business- 90
Now, calculate your average marks- it is 85+90+100+90 whole divided by 4 i.e. your average marks is 91.25. Great!!
Now, suppose you have scored 70 in Accountancy. This 70 marks is the addition to your total marks- i.e. this is the marginal marks. Now, see what is the impact of these 70 marks on your average marks. Even after considering your marks in Accountancy, your average mark has just fallen by only 4.25 points (new average marks- 87, whereas, the old one was 91.25).
Compare the change in marginal marks (70) with respect to the change in the average marks (4.25)? This is why, we say marginal is spontaneous and average is sluggish. You will find this concept in all the variables you will come across the subsequent chapters- (Marginal Cost, Average Cost, Marginal Revenue and Average Revenue, Marginal Propensity to Consume and Average Propensity to Consume, Marginal Propensity to Save and Average Propensity to Save).
______________________________
❤️ I hope you mark as brainlist⭐❤️
avishkarp123:
plzz mark as brainlist
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