Definition
The marginal product of a factor of production is generally defined as the change in output associated with a change in that factor, holding other inputs into production constant.
The marginal product of labor is then the change in output (Y) per unit change in labor (L). In discrete terms the marginal product of labor is
In continuous terms the MPL is the first derivative of the production function:
Graphically the MPL is the slope of the production function.
Read more about this topic: Marginal Product Of Labor
Famous quotes containing the word definition:
“The man who knows governments most completely is he who troubles himself least about a definition which shall give their essence. Enjoying an intimate acquaintance with all their particularities in turn, he would naturally regard an abstract conception in which these were unified as a thing more misleading than enlightening.”
—William James (1842–1910)
“Scientific method is the way to truth, but it affords, even in
principle, no unique definition of truth. Any so-called pragmatic
definition of truth is doomed to failure equally.”
—Willard Van Orman Quine (b. 1908)
“It is very hard to give a just definition of love. The most we can say of it is this: that in the soul, it is a desire to rule; in the spirit, it is a sympathy; and in the body, it is but a hidden and subtle desire to possess—after many mysteries—what one loves.”
—François, Duc De La Rochefoucauld (1613–1680)