Short-Run Production(one input Summary L=O leads to Q=O when MP is increasing, Q is increasing at an increasing rate when MP is decreasing, Q may sti increase but at a decreasing rate When MP=0, Q stop increasing and start decreasing(Q is maximized) AP reaches its maximum when aPmPShort-Run Production (one input) Summary ◼ L=0 leads to Q=0 ◼ when MP is increasing, Q is increasing at an increasing rate ◼ when MP is decreasing, Q may still increase but at a decreasing rate ◼ When MP=0, Q stop increasing and start decreasing (Q is maximized). ◼ AP reaches its maximum when AP=MP