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TARIFFS: Taxes that are usually on imports, but occasionally (very rarely) on exports. This is one form of trade barrier that's intended to restrict imports into a country. Unlike nontariff barriers and quotas which increase prices and thus revenue received by domestic producers, a tariff generates revenue for the government. Most pointy-headed economists who spend their waking hours pondering the plight of foreign trade contend that the best way to restrict trade, if that's what you want to do, is through a tariff.
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                           AVERAGE PRODUCT CURVE: A curve that graphically illustrates the relation between average product and the quantity of the variable input, holding all other inputs fixed. This curve indicates the per unit output at each level of the variable input. The average product curve is one of three related curves used in the analysis of the short-run production of a firm. The other two are total product curve and marginal product curve. The average product curve illustrates how average product is related to a variable input. While the standard analysis of short-run production relates average product to labor, an average product curve can be constructed for any variable input. | Average Product Curve |  |
The diagram to the right graphically represents the relation between average product and the variable input. This particular curve is derived from the hourly production of Super Deluxe TexMex Gargantuan Tacos (with sour cream and jalapeno peppers) as Waldo's TexMex Taco World restaurant employs additional workers. The number of workers, measured on the horizontal axis, ranges from 0 to 10 and the average Gargantuan Taco production per worker, measured on the vertical axis, ranges from 0 to 25.The shape of this average product curve is worth noting. For the first two workers of variable input, average product increases. This is reflected in a positive slope of the average product curve. After the third worker, the average product declines. This is seen as a negative slope. While average product continues to decline, it never reaches zero nor becomes negative. To do so would require total product to become zero and negative, which just does not happen. The hump-shape of the average product curve indirectly results from increasing and decreasing marginal returns. The upward-sloping portion of the average product curve, up to the second worker, is indirectly due to increasing marginal returns. The downward-sloping portion of the average product curve, after the third worker, is indirectly due to decreasing marginal returns. and the law of diminishing marginal returns.
Recommended Citation:AVERAGE PRODUCT CURVE, AmosWEB Encyclonomic WEB*pedia, http://www.AmosWEB.com, AmosWEB LLC, 2000-2025. [Accessed: July 13, 2025].
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Today, you are likely to spend a great deal of time searching for a specialty store hoping to buy either an AC adapter for your CD player or storage boxes for your family photos. Be on the lookout for letters from the Internal Revenue Service.
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There were no banks in colonial America before the U.S. Revolutionary War. Anyone seeking a loan did so from another individual.
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