The correct answer is: B. lower.
Marginal product is the additional output produced by an additional unit of input. Average product is the total output produced divided by the number of units of input.
In the following figure, marginal product reaches its maximum at a level of labor of 3 units. Average product reaches its maximum at a level of labor of 2 units. Therefore, marginal product reaches its maximum at a lower level of labor than average product.
Here is a more detailed explanation of each option:
- Option A: higher. This is incorrect because marginal product reaches its maximum at a lower level of labor than average product.
- Option B: lower. This is the correct answer because marginal product reaches its maximum at a lower level of labor than average product.
- Option C: same. This is incorrect because marginal product reaches its maximum at a lower level of labor than average product.
- Option D: not comparable. This is incorrect because marginal product and average product are both measurable quantities. Therefore, they can be compared.