Enter the total change in output and the total change in input into the calculator. The calculator will evaluate the marginal product.
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Marginal Product Formula
The following equation is used to calculate marginal product, which is the change in output produced by a change in input.
MP = O / I
- Where MP is the marginal product
- I is the change in input
- O is the change in output
To calculate the marginal product, divide the change in output by the change in input.
Marginal Product Definition
Marginal product is the change in output resulting from a one-unit (or other small incremental) change in an input, holding other inputs constant. It is commonly described as “additional output per additional unit of input.”
Marginal Product Example
How to calculate a marginal product?
- First, determine the change in input.
Calculate the total change in input.
- Next, determine the change in output.
Calculate the total quantity change in output.
- Finally, calculate the marginal product.
Use the equation above to calculate the marginal product.
FAQ
Marginal product is the additional output produced by an additional unit (or small increase) of an input, holding other inputs constant. It is calculated as the change in output divided by the change in input (ΔOutput/ΔInput). Monetary versions are typically handled by the value of marginal product (marginal revenue product), which multiplies marginal product by price (or marginal revenue).
