Define total product, average product and marginal product

Total product: Total product of a factor is the amount of total output produced by a given amount of the factor, other factors held constant.

Average product: Average product of a factor is the total output produced per unit of the factor employed.

 

Marginal product: Marginal product of a factor is the addition to the total production by the employment of an extra unit of a factor.

For example, suppose that we are holding machinery and labor. Then the total, marginal and average product is given in the table is as follows:-

Unit of labour	Total product	Marginal product	Average product
0	0	0	0
1	200	200	200
2	300	100	150
3	350	50	116.67
4	380	30	95
5	400	20	80

The table shows the total product that can be produced for different inputs of labor when other inputs and the state of technical know ledged are unchanged.

From total product we can derive marginal product and average product.