Marginal product is?

Question

Possible Answers:
-total amount of output produced divided by price of the output.
-total amount of output produced divided by the quantity of labor employed.
-the increase in output that results from a one-unit increase in the quantity of labor employed with all other inputs remaining the same.
-total amount of output produced.

Answer 1

C-- you're so going to fail your next exam.

Go in an meet with your TA before you get beat down on a test.

Answer 2

"a farmer is maximizing earnings" ... while does this take place?... for a small, cost-taking organization (like this farmer) it happens while Marginal value (MC) equals Marginal benefit (MB). So, the 1st worker could be bobbing up greater benefit than value, the 2nd, 0.33, fourth and 5th workers are in all probability bobbing up particularly much less benefit for each worker (diminishing marginal returns) and finally he stops hiring on the 6th worker because of the fact they simply create sufficient benefit (quantity picked X cost) to equivalent their hourly salary. if that is so the marginal manufactured from the 6th worker must be 12(consistent with hour)/2(consistent with container) or 6 packing packing containers consistent with hour (or $12 of product/hr). As to question b... marginal product is going down with each and every worker employed (diminishing marginal product - for this reason by using much less acreage/worker or much less capital kit/worker, coordination of workers, and so forth) so it relatively is going to be greater suitable than the 6th. As to question c... back if the farm is maximizing earnings, they're going to hire until eventually the final worker employed is putting out as a lot benefit as he value them, so at a salary of 12/hr, at $3/container he might %. 4 packing packing containers of product... his marginal product. Peace